Don't Ignore The Insider Selling In Flushing Financial

We note that the Flushing Financial Corporation (NASDAQ:FFIC) Senior EVP and Chief Retail & Client Development Officer, Michael Bingold, recently sold US$75k worth of stock for US$12.97 per share. On the bright side, that's just a small sale and only reduced their holding by 8.6%.

View our latest analysis for Flushing Financial

Flushing Financial Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the Independent Director, Sam Ki Han, sold US$155k worth of shares at a price of US$15.47 per share. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. It's of some comfort that this sale was conducted at a price well above the current share price, which is US$13.10. So it may not shed much light on insider confidence at current levels.

Over the last year, we can see that insiders have bought 16.89k shares worth US$256k. But insiders sold 28.25k shares worth US$420k. In total, Flushing Financial insiders sold more than they bought over the last year. 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!

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Insider Ownership Of Flushing Financial

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Flushing Financial insiders own about US$19m worth of shares. That equates to 4.4% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Does This Data Suggest About Flushing Financial Insiders?

An insider sold Flushing Financial 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! So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. At Simply Wall St, we found 3 warning signs for Flushing Financial that deserve your attention before buying any shares.

Of course Flushing Financial 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.