ASM International CFO & Member of Management Board Paulus Antonius Henricus Verhagen Sells 42% Of Holding

Some ASM International NV (AMS:ASM) shareholders may be a little concerned to see that the CFO & Member of Management Board, Paulus Antonius Henricus Verhagen, recently sold a substantial €979k worth of stock at a price of €607 per share. That sale reduced their total holding by 42% which is hardly insignificant, but far from the worst we've seen.

Check out our latest analysis for ASM International

The Last 12 Months Of Insider Transactions At ASM International

In the last twelve months, the biggest single purchase by an insider was when Advisor Gek Lim Loh bought €2.0m worth of shares at a price of €520 per share. That implies that an insider found the current price of €545 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. The good news for ASM International share holders is that insiders were buying at near the current price.

Over the last year, we can see that insiders have bought 7.65k shares worth €4.0m. But they sold 1.61k shares for €979k. Overall, ASM International insiders were net buyers during the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.

Insider Ownership Of ASM International

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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. ASM International insiders own about €31m worth of shares. That equates to 0.1% of the company. 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 Do The ASM International Insider Transactions Indicate?

Unfortunately, there has been more insider selling of ASM International stock, than buying, in the last three months. On the other hand, the insider transactions over the last year are encouraging. It's good to see insiders are shareholders. So we're happy enough to look past some selling. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Case in point: We've spotted 2 warning signs for ASM International you should be aware of.

Of course ASM International 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.

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