Don't Ignore The Fact That This Insider Just Sold Some Shares In Mediobanca Banca di Credito Finanziario S.p.A. (BIT:MB)

We wouldn't blame Mediobanca Banca di Credito Finanziario S.p.A. (BIT:MB) shareholders if they were a little worried about the fact that Vittorio Morano Campori, a company insider, recently netted about €1.9m selling shares at an average price of €9.63. That sale reduced their total holding by 29% which is hardly insignificant, but far from the worst we've seen.

View our latest analysis for Mediobanca Banca di Credito Finanziario

The Last 12 Months Of Insider Transactions At Mediobanca Banca di Credito Finanziario

In fact, the recent sale by Vittorio Morano Campori was the biggest sale of Mediobanca Banca di Credito Finanziario shares made by an insider individual in the last twelve months, according to our records. So what is clear is that an insider saw fit to sell at around the current price of €9.43. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).

In total, Mediobanca Banca di Credito Finanziario insiders sold more 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. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

I will like Mediobanca Banca di Credito Finanziario better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider 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. Mediobanca Banca di Credito Finanziario insiders own about €110m worth of shares (which is 1.4% of the company). Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Do The Mediobanca Banca di Credito Finanziario Insider Transactions Indicate?

An insider hasn't bought Mediobanca Banca di Credito Finanziario stock in the last three months, but there was some selling. And our longer term analysis of insider transactions didn't bring confidence, either. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Mediobanca Banca di Credito Finanziario. To assist with this, we've discovered 1 warning sign that you should run your eye over to get a better picture of Mediobanca Banca di Credito Finanziario.

Of course Mediobanca Banca di Credito Finanziario 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, but not derivative transactions.

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