Have Storytel Insiders Been Selling Stock?

We wouldn't blame Storytel AB (publ) (STO:STORY B) shareholders if they were a little worried about the fact that Jonas Tellander, the Vice Chairman & Founder recently netted about kr9.2m selling shares at an average price of kr61.11. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 1.2%.

View our latest analysis for Storytel

The Last 12 Months Of Insider Transactions At Storytel

In fact, the recent sale by Vice Chairman & Founder Jonas Tellander was not their only sale of Storytel shares this year. They previously made an even bigger sale of -kr12m worth of shares at a price of kr57.54 per share. So it's clear an insider wanted to take some cash off the table, even slightly below the current price of kr58.50. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. It is worth noting that this sale was only 1.6% of Jonas Tellander's holding.

In the last twelve months insiders purchased 251.81k shares for kr14m. But they sold 485.00k shares for kr28m. Over the last year we saw more insider selling of Storytel shares, than buying. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

I will like Storytel better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

Insider Ownership Of Storytel

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. Storytel insiders own about kr890m worth of shares. That equates to 20% of the company. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

What Might The Insider Transactions At Storytel Tell Us?

Insiders haven't bought Storytel stock in the last three months, but there was some selling. Zooming out, the longer term picture doesn't give us much comfort. It is good to see high insider ownership, but the insider selling leaves us cautious. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we found 1 warning sign for Storytel that deserve your attention before buying any shares.

Of course Storytel 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