Have Gujarat State Petronet Limited (NSE:GSPL) Insiders Been Selling Their Stock?

By
Simply Wall St
Published
January 07, 2021
NSEI:GSPL

We note that a Gujarat State Petronet Limited (NSE:GSPL) insider, Devendra Agarwal, recently sold ₹4.8m worth of stock for ₹221 per share. That might not be a huge sum but it was 100% of their personal holding, so we find it a little discouraging.

Check out our latest analysis for Gujarat State Petronet

The Last 12 Months Of Insider Transactions At Gujarat State Petronet

In fact, the recent sale by Devendra Agarwal was the biggest sale of Gujarat State Petronet shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at around the current price of ₹211. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.

You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

insider-trading-volume
NSEI:GSPL Insider Trading Volume January 8th 2021

I will like Gujarat State Petronet better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

Does Gujarat State Petronet Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. From what we can see in our data, insiders own only about ₹5.1m worth of Gujarat State Petronet shares. But they may have an indirect interest through a corporate structure that we haven't picked up on. We might be missing something but that seems like very low insider ownership.

So What Do The Gujarat State Petronet Insider Transactions Indicate?

An insider sold stock recently, but they haven't been buying. And even if we look at the last year, we didn't see any purchases. When you combine this with the relatively low insider ownership, we are very cautious about the stock. So we'd only buy after very careful consideration. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Gujarat State Petronet. At Simply Wall St, we've found that Gujarat State Petronet has 2 warning signs (1 is potentially serious!) that deserve your attention before going any further with your analysis.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.

Promoted
When trading Gujarat State Petronet or any other investment, use the platform considered by many to be the Professional's Gateway to the Worlds Market, Interactive Brokers. You get the lowest-cost* trading on stocks, options, futures, forex, bonds and funds worldwide from a single integrated account.


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.
*Interactive Brokers Rated Lowest Cost Broker by StockBrokers.com Annual Online Review 2020


Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

Discounted cash flow calculation for every stock

Simply Wall St does a detailed discounted cash flow calculation every 6 hours for every stock on the market, so if you want to find the intrinsic value of any company just search here. It’s FREE.


Simply Wall St character - Warren

Simply Wall St

Simply Wall St is a financial technology startup focused on providing unbiased, high-quality research coverage on every listed company in the world. Our research team consists of equity analysts with a public, market-beating track record. Learn more about the team behind Simply Wall St.