Have Curtiss-Wright Insiders Been Selling Stock?

We wouldn't blame Curtiss-Wright Corporation (NYSE:CW) shareholders if they were a little worried about the fact that Lynn Bamford, the CEO & Chairman recently netted about US$2.9m selling shares at an average price of US$347. That sale reduced their total holding by 18% which is hardly insignificant, but far from the worst we've seen.

Check out our latest analysis for Curtiss-Wright

The Last 12 Months Of Insider Transactions At Curtiss-Wright

Over the last year, we can see that the biggest insider sale was by the insider, Sheri Fuller, for US$3.0m worth of shares, at about US$281 per share. That means that even when the share price was below the current price of US$338, an insider wanted to cash in some shares. 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. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. It is worth noting that this sale was only 34% of Sheri Fuller's holding.

Over the last year, we can see that insiders have bought 447.00 shares worth US$120k. On the other hand they divested 32.52k shares, for US$10m. Over the last year we saw more insider selling of Curtiss-Wright shares, than buying. The sellers received a price of around US$312, on average. It's not particularly great to see insiders were selling shares at below recent prices. Of course, the sales could be motivated for a multitude of reasons, so we shouldn't jump to conclusions. 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!

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Insider Ownership

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 0.6% of Curtiss-Wright shares, worth about US$73m. 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 Curtiss-Wright Tell Us?

The stark truth for Curtiss-Wright is that there has been more insider selling than insider buying in the last three months. Despite some insider buying, the longer term picture doesn't make us feel much more positive. But since Curtiss-Wright is profitable and growing, we're not too worried by this. Insiders own shares, but we're still pretty cautious, given the history of sales. We're in no rush to buy! 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 1 warning sign for Curtiss-Wright that deserve your attention before buying any shares.

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.