National Bank Holdings Insiders Sell US$2.2m Of Stock, Possibly Signalling Caution

Many National Bank Holdings Corporation (NYSE:NBHC) insiders ditched their stock over the past year, which may be of interest to the company's shareholders. Knowing whether insiders are buying is usually more helpful when evaluating insider transactions, as insider selling can have various explanations. However, shareholders should take a deeper look if several insiders are selling stock over a specific time period.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

View our latest analysis for National Bank Holdings

The Last 12 Months Of Insider Transactions At National Bank Holdings

The Chairman & CEO, G. Laney, made the biggest insider sale in the last 12 months. That single transaction was for US$696k worth of shares at a price of US$43.34 each. That means that an insider was selling shares at around the current price of US$42.06. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

National Bank Holdings insiders didn't buy any shares over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Insiders At National Bank Holdings Have Sold Stock Recently

Over the last three months, we've seen a bit of insider selling at National Bank Holdings. Executive VP & Chief Digital Officer Valerie Kramer only netted US$45k selling shares, in that period. It's not great to see insider selling, nor the lack of recent buyers. But the selling simply isn't sufficiently substantial to be of much use as a signal.

Does National Bank Holdings Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Insiders own 2.1% of National Bank Holdings shares, worth about US$35m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Do The National Bank Holdings Insider Transactions Indicate?

We did not see any insider buying in the last three months, but we did see selling. However, the sales are not big enough to concern us at all. Recent sales exacerbate our caution arising from analysis of National Bank Holdings insider transactions. The modest level of insider ownership is, at least, some comfort. Of course, the future is what matters most. So if you are interested in National Bank Holdings, you should check out this free report on analyst forecasts for the company.

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 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.