Berner Industrier Insiders Benefitted From Selling Stock At kr43.47

Despite a 14% gain in Berner Industrier AB's (STO:BERNER B) stock price this week, shareholders shouldn't let up. In spite of the relatively cheap prices, insiders made the decision to sell kr522k worth of stock in the last 12 months. This could be a warning indicator of vulnerabilities in the future.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

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Berner Industrier Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the CEO of Christian Berner AB & A/S Christian Berner and Supply Chain Director, Hans Lindqvist, for kr522k worth of shares, at about kr43.50 per share. That means that an insider was selling shares at slightly below the current price (kr61.00). When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent 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. We note that the biggest single sale was 100% of Hans Lindqvist's holding. Hans Lindqvist was the only individual insider to sell over the last year.

Over the last year, we can see that insiders have bought 11.50k shares worth kr476k. On the other hand they divested 12.00k shares, for kr522k. 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!

View our latest analysis for Berner Industrier

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Insider Ownership Of Berner Industrier

For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 16% of Berner Industrier shares, worth about kr189m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Does This Data Suggest About Berner Industrier Insiders?

There haven't been any insider transactions in the last three months -- that doesn't mean much. It's heartening that insiders own plenty of stock, but we'd like to see more insider buying, since the last year of Berner Industrier insider transactions don't fill us with confidence. Of course, the future is what matters most. So if you are interested in Berner Industrier, you should check out this free report on analyst forecasts for the company.

Of course Berner Industrier 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.