Don't Ignore The Fact That This Insider Just Sold Some Shares In Stellantis N.V. (BIT:STLA)
We'd be surprised if Stellantis N.V. (BIT:STLA) shareholders haven't noticed that the CEO & Executive Director, Carlos Tavares, recently sold €253k worth of stock at €13.76 per share. However, the silver lining is that the sale only reduced their total holding by 2.0%, so we're hesitant to read anything much into it, on its own.
Check out our latest analysis for Stellantis
Stellantis Insider Transactions Over The Last Year
The Executive Chairman of the Board, John Elkann, made the biggest insider sale in the last 12 months. That single transaction was for €442k worth of shares at a price of €16.35 each. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The good news is that this large sale was at well above current price of €14.07. So it may not shed much light on insider confidence at current levels.
Happily, we note that in the last year insiders paid €400k for 23.15k shares. But insiders sold 83.68k shares worth €1.3m. All up, insiders sold more shares in Stellantis than they bought, over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).
Insider Ownership
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Stellantis insiders own 0.06% of the company, worth about €25m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Does This Data Suggest About Stellantis Insiders?
An insider sold stock recently, but they haven't been buying. Despite some insider buying, the longer term picture doesn't make us feel much more positive. On the plus side, Stellantis makes money, and is growing profits. Insiders own shares, but we're still pretty cautious, given the history of sales. So we'd only buy after careful consideration. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. At Simply Wall St, we found 2 warning signs for Stellantis that deserve your attention before buying any shares.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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, but not derivative transactions.
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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.
About BIT:STLAM
Stellantis
Engages in the design, engineering, manufacturing, distribution, and sale of automobiles and light commercial vehicles, engines, transmission systems, metallurgical products, mobility services, and production systems worldwide.
Undervalued with excellent balance sheet.
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