A Mainfreight Limited (NZSE:MFT) insider lowered their holding by 0.4% earlier this year

Published
June 27, 2022
NZSE:MFT
Source: Shutterstock

Looking at Mainfreight Limited's (NZSE:MFT ) insider transactions over the last year, we can see that insiders were net sellers. That is, there were more number of shares sold by insiders than there were purchased.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Mainfreight

The Last 12 Months Of Insider Transactions At Mainfreight

In the last twelve months, the biggest single sale by an insider was when the Founding Owner & Executive Chairman, Bruce Plested, sold NZ$5.1m worth of shares at a price of NZ$94.75 per share. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The silver lining is that this sell-down took place above the latest price (NZ$69.80). So it may not shed much light on insider confidence at current levels. Bruce Plested was the only individual insider to sell shares in the last twelve months.

In the last twelve months insiders purchased 62.02k shares for NZ$4.9m. But insiders sold 100.00k shares worth NZ$9.4m. Bruce Plested divested 100.00k shares over the last 12 months at an average price of NZ$93.75. 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!

insider-trading-volume
NZSE:MFT Insider Trading Volume June 27th 2022

I will like Mainfreight 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 Mainfreight Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Mainfreight insiders own 18% of the company, worth about NZ$1.3b. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At Mainfreight Tell Us?

It doesn't really mean much that no insider has traded Mainfreight shares in the last quarter. It's heartening that insiders own plenty of stock, but we'd like to see more insider buying, since the last year of Mainfreight insider transactions don't fill us with confidence. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Mainfreight.

Of course Mainfreight 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.

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.

Make Confident Investment Decisions

Simply Wall St's Editorial Team provides unbiased, factual reporting on global stocks using in-depth fundamental analysis.
Find out more about our editorial guidelines and team.