The Independent Director of Innovative Solutions and Support, Inc. (NASDAQ:ISSC), Roger Carolin, Just Sold 53% Of Their Holding

We'd be surprised if Innovative Solutions and Support, Inc. (NASDAQ:ISSC) shareholders haven't noticed that the Independent Director, Roger Carolin, recently sold US$229k worth of stock at US$8.05 per share. Equally important, that sale actually reduced their holding by a full 53% which hardly makes us feel bullish about the stock.

Check out our latest analysis for Innovative Solutions and Support

Innovative Solutions and Support Insider Transactions Over The Last Year

The Independent Director, Winston Churchill, made the biggest insider sale in the last 12 months. That single transaction was for US$410k worth of shares at a price of US$6.04 each. That means that even when the share price was below the current price of US$7.80, an insider wanted to cash in some shares. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. However, while insider selling is sometimes discouraging, it's only a weak signal. We note that the biggest single sale was only 47% of Winston Churchill's holding.

Innovative Solutions and Support 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. By clicking on the graph below, you can see the precise details of each insider transaction!

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

Does Innovative Solutions and Support 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. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Innovative Solutions and Support insiders own 33% of the company, worth about US$44m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

What Might The Insider Transactions At Innovative Solutions and Support Tell Us?

Insiders sold stock recently, but they haven't been buying. And there weren't any purchases to give us comfort, over the last year. But it is good to see that Innovative Solutions and Support is growing earnings. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. So we'd only buy after careful consideration. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Innovative Solutions and Support. You'd be interested to know, that we found 2 warning signs for Innovative Solutions and Support and we suggest you have a look.

But note: Innovative Solutions and Support 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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