Have Quanta Services Insiders Been Selling Stock?

We wouldn't blame Quanta Services, Inc. (NYSE:PWR) shareholders if they were a little worried about the fact that Bernard Fried, the Independent Director recently netted about US$1.8m selling shares at an average price of US$452. That sale reduced their total holding by 19% which is hardly insignificant, but far from the worst we've seen.

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Quanta Services Insider Transactions Over The Last Year

In fact, the recent sale by Bernard Fried was the biggest sale of Quanta Services shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at around the current price of US$443. While insider selling is a negative, to us, it is more negative if the shares are sold 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.

The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

View our latest analysis for Quanta Services

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Insider Ownership

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Quanta Services insiders own 1.1% of the company, worth about US$727m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Does This Data Suggest About Quanta Services Insiders?

An insider sold Quanta Services shares recently, but they didn't buy any. And there weren't any purchases to give us comfort, over the last year. But it is good to see that Quanta Services is growing earnings. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. In terms of investment risks, we've identified 1 warning sign with Quanta Services and understanding this should be part of your investment process.

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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.