Oracle Financial Services Software Insiders Sell ₹184m Of Stock, Possibly Signalling Caution

Over the past year, many Oracle Financial Services Software Limited (NSE:OFSS) insiders sold a significant stake in the company which may have piqued investors' interest. Knowing whether insiders are buying is usually more helpful when evaluating insider transactions, as insider selling can have various explanations. However, when multiple insiders sell stock over a specific duration, shareholders should take notice as that could possibly be a red flag.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

Our free stock report includes 1 warning sign investors should be aware of before investing in Oracle Financial Services Software. Read for free now.

The Last 12 Months Of Insider Transactions At Oracle Financial Services Software

Over the last year, we can see that the biggest insider sale was by the CEO, MD & Executive Director, S. Padalkar, for ₹60m worth of shares, at about ₹11,422 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is ₹7,580. So it may not tell us anything about how insiders feel about the current share price.

In total, Oracle Financial Services Software insiders sold more than they bought over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

Check out our latest analysis for Oracle Financial Services Software

I will like Oracle Financial Services Software better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

Does Oracle Financial Services Software Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Insiders own 0.4% of Oracle Financial Services Software shares, worth about ₹2.6b. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About Oracle Financial Services Software Insiders?

There haven't been any insider transactions in the last three months -- that doesn't mean much. While we feel good about high insider ownership of Oracle Financial Services Software, we can't say the same about the selling of shares. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Oracle Financial Services Software. You'd be interested to know, that we found 1 warning sign for Oracle Financial Services Software and we suggest you have a look.

Of course Oracle Financial Services Software may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

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 of direct interests only, but not derivative transactions or indirect interests.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. 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.