Stock Analysis

Dektra Falls To zł8.80, But Insiders Sold At Lower Price

WSE:DKR
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Dektra SA's (WSE:DKR) value has fallen 10% in the last week, but insiders who sold zł1.2m worth of stock over the last year have had less success. Given that the average selling price of zł13.57 is still lower than the current share price, insiders would probably have been better off keeping their shares.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

View our latest analysis for Dektra

Dektra Insider Transactions Over The Last Year

The insider, Maciej Stefanski, made the biggest insider sale in the last 12 months. That single transaction was for zł228k worth of shares at a price of zł14.75 each. 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 (zł8.80). So it may not shed much light on insider confidence at current levels. Maciej Stefanski was the only individual insider to sell over the last year. Notably Maciej Stefanski was also the biggest buyer, having purchased zł167k worth of shares.

Maciej Stefanski sold a total of 90.71k shares over the year at an average price of zł13.57. 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!

insider-trading-volume
WSE:DKR Insider Trading Volume September 12th 2023

I will like Dektra better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

Dektra Insiders Are Selling The Stock

Over the last three months, we've seen significant insider selling at Dektra. In total, insider Maciej Stefanski dumped zł372k worth of shares in that time, and we didn't record any purchases whatsoever. Overall this makes us a bit cautious, but it's not the be all and end all.

Does Dektra 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. Dektra insiders own about zł4.9m worth of shares (which is 50% 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 Dektra Insider Transactions Indicate?

An insider sold stock recently, but they haven't been buying. 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 Dektra. At Simply Wall St, we've found that Dektra has 6 warning signs (1 doesn't sit too well with us!) that deserve your attention before going any further with your analysis.

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 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.