Have Columbus McKinnon Corporation (NASDAQ:CMCO) Insiders Been Selling Their Stock?

By
Simply Wall St
Published
November 06, 2020
NasdaqGS:CMCO

We'd be surprised if Columbus McKinnon Corporation (NASDAQ:CMCO) shareholders haven't noticed that the VP of Corporate Development, Alan Korman, recently sold US$127k worth of stock at US$34.09 per share. That sale was 25% of their holding, so it does make us raise an eyebrow.

Check out our latest analysis for Columbus McKinnon

The Last 12 Months Of Insider Transactions At Columbus McKinnon

The insider, Kurt Wozniak, made the biggest insider sale in the last 12 months. That single transaction was for US$277k worth of shares at a price of US$39.64 each. So we know that an insider sold shares at around the present share price of US$34.77. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.

Columbus McKinnon insiders didn't buy any shares over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

insider-trading-volume
NasdaqGS:CMCO Insider Trading Volume November 6th 2020

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Does Columbus McKinnon Boast High Insider Ownership?

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Columbus McKinnon insiders own 1.7% of the company, worth about US$14m. 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 Columbus McKinnon Insiders?

Insiders sold Columbus McKinnon shares recently, but they didn't buy any. Looking to the last twelve months, our data doesn't show any insider buying. While insiders do own shares, they don't own a heap, and they have been selling. We'd practice some caution before buying! While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. To assist with this, we've discovered 3 warning signs that you should run your eye over to get a better picture of Columbus McKinnon.

But note: Columbus McKinnon may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.

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. 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.
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