Insiders who sold Compagnia Immobiliare Azionaria S.p.A. (BIT:CIA) earlier this year probably made the right call as market cap dropped by €1.1m

By selling €308k worth of Compagnia Immobiliare Azionaria S.p.A. (BIT:CIA) stock at an average sell price of €0.096 over the last year, insiders seemed to have made the most of their holdings. After the stock price dropped 15% last week, the company's market value declined by €1.1m, but insiders were able to mitigate their losses.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

Check out our latest analysis for Compagnia Immobiliare Azionaria

Compagnia Immobiliare Azionaria Insider Transactions Over The Last Year

The Vice Chairman, Paolo Panerai, made the biggest insider sale in the last 12 months. That single transaction was for €120k worth of shares at a price of €0.12 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 €0.065. So it is hard to draw any strong conclusion from it. Paolo Panerai was the only individual insider to sell shares in the last twelve months.

Paolo Panerai divested 3.19m shares over the last 12 months at an average price of €0.096. 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!

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

Does Compagnia Immobiliare Azionaria Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 7.5% of Compagnia Immobiliare Azionaria shares, worth about €450k, according to our data. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. We do generally prefer see higher levels of insider ownership.

What Might The Insider Transactions At Compagnia Immobiliare Azionaria Tell Us?

The fact that there have been no Compagnia Immobiliare Azionaria insider transactions recently certainly doesn't bother us. Our analysis of Compagnia Immobiliare Azionaria insider transactions leaves us unenthusiastic. And we're not picking up on high enough insider ownership to give us any comfort. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Our analysis shows 3 warning signs for Compagnia Immobiliare Azionaria (2 can't be ignored!) and we strongly recommend you look at them before investing.

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.

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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.