Chief Executive Officer Magnus Larsson Sold A Bunch Of Shares In Promimic

We'd be surprised if Promimic AB (publ) (STO:PRO) shareholders haven't noticed that the Chief Executive Officer, Magnus Larsson, recently sold kr4.1m worth of stock at kr25.60 per share. In particular, we note that the sale equated to a 61% reduction in their position size, which doesn't exactly instill confidence.

View our latest analysis for Promimic

Promimic Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the insider, Martin Andersson, for kr8.2m worth of shares, at about kr31.70 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is kr25.00. So it may not tell us anything about how insiders feel about the current share price.

Over the last year we saw more insider selling of Promimic shares, than buying. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

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Insider Ownership Of Promimic

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. Insiders own 8.5% of Promimic shares, worth about kr40m, according to our data. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. We do generally prefer see higher levels of insider ownership.

So What Does This Data Suggest About Promimic Insiders?

An insider sold Promimic shares recently, but they didn't buy any. And our longer term analysis of insider transactions didn't bring confidence, either. Insiders own shares, but we're still pretty cautious, given the history of sales. We'd practice some caution before buying! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Promimic. Case in point: We've spotted 3 warning signs for Promimic you should be aware of.

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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.