Stock Analysis

President & CEO Of Inwido Sold 95% Of Their Shares

Published
OM:INWI

We'd be surprised if Inwido AB (publ) (STO:INWI) shareholders haven't noticed that the President & CEO, Henrik Hjalmarsson, recently sold kr2.2m worth of stock at kr110 per share. Equally important, that sale actually reduced their holding by a full 95% which hardly makes us feel bullish about the stock.

View our latest analysis for Inwido

The Last 12 Months Of Insider Transactions At Inwido

Notably, that recent sale by Henrik Hjalmarsson is the biggest insider sale of Inwido shares that we've seen in the last year. That means that even when the share price was below the current price of kr114, an insider wanted to cash in some shares. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. We note that the biggest single sale was 95% of Henrik Hjalmarsson's holding.

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!

OM:INWI Insider Trading Volume November 1st 2023

For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership Of Inwido

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Based on our data, Inwido insiders have about 0.4% of the stock, worth approximately kr28m. I generally like to see higher levels of ownership.

What Might The Insider Transactions At Inwido Tell Us?

An insider hasn't bought Inwido stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Inwido. Be aware that Inwido is showing 3 warning signs in our investment analysis, and 1 of those is a bit unpleasant...

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 of direct interests only, but not derivative transactions or indirect interests.

New: AI Stock Screener & Alerts

Our new AI Stock Screener scans the market every day to uncover opportunities.

• Dividend Powerhouses (3%+ Yield)
• Undervalued Small Caps with Insider Buying
• High growth Tech and AI Companies

Or build your own from over 50 metrics.

Explore Now for Free

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

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.