Have CyberTech Systems and Software Limited (NSE:CYBERTECH) Insiders Been Selling Their Stock?

We'd be surprised if CyberTech Systems and Software Limited (NSE:CYBERTECH) shareholders haven't noticed that the Non-Executive Non-Independent Director, Steven Jeske, recently sold ₹24m worth of stock at ₹161 per share. On the bright side, that sale was only 6.2% of their holding, so we doubt it's very meaningful, on its own.

View our latest analysis for CyberTech Systems and Software

CyberTech Systems and Software Insider Transactions Over The Last Year

In fact, the recent sale by Steven Jeske was the biggest sale of CyberTech Systems and Software shares made by an insider individual in the last twelve months, according to our records. So we know that an insider sold shares at around the present share price of ₹150. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

Over the last year we saw more insider selling of CyberTech Systems and Software shares, than buying. The sellers received a price of around ₹120, on average. It's not particularly great to see insiders were selling shares at below recent prices. Since insiders sell for many reasons, we wouldn't put too much weight on it. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insider Ownership

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It's great to see that CyberTech Systems and Software insiders own 51% of the company, worth about ₹2.2b. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At CyberTech Systems and Software Tell Us?

An insider hasn't bought CyberTech Systems and Software stock in the last three months, but there was some selling. And our longer term analysis of insider transactions didn't bring confidence, either. It is good to see high insider ownership, but the insider selling leaves us cautious. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For example - CyberTech Systems and Software has 4 warning signs we think you should be aware of.

But note: CyberTech Systems and Software may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

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This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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