Stock Analysis

Insiders who sold Divio Technologies AB (publ) (STO:DIVIO B) earlier this year probably made the right call as market cap dropped by kr9.3m

OM:DIVIO B
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Over the past year, insiders sold kr867k worth of Divio Technologies AB (publ) (STO:DIVIO B) stock at an average price of kr1.93 per share allowing them to get the most out of their money. After the stock price dropped 12% last week, the company's market value declined by kr9.3m, but insiders were able to mitigate their losses.

Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

View our latest analysis for Divio Technologies

Divio Technologies Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the Founder & Director, Christian Bertschy, for kr867k worth of shares, at about kr2.34 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (kr0.78). So it may not shed much light on insider confidence at current levels. The only individual insider seller over the last year was Christian Bertschy.

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
OM:DIVIO B Insider Trading Volume April 14th 2022

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 Divio Technologies

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. Our data indicates that Divio Technologies insiders own about kr7.0m worth of shares (which is 10% of the company). However, it's possible that insiders might have an indirect interest through a more complex structure. We do generally prefer see higher levels of insider ownership.

So What Does This Data Suggest About Divio Technologies Insiders?

The fact that there have been no Divio Technologies insider transactions recently certainly doesn't bother us. We don't take much encouragement from the transactions by Divio Technologies insiders. And usually insiders own more stock in the company, according to our data. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Our analysis shows 6 warning signs for Divio Technologies (3 are significant!) and we strongly recommend you look at them before investing.

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, but not derivative transactions.

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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.