Have Westinghouse Air Brake Technologies Insiders Been Selling Stock?

Some Westinghouse Air Brake Technologies Corporation (NYSE:WAB) shareholders may be a little concerned to see that the Executive VP, David DeNinno, recently sold a substantial US$1.9m worth of stock at a price of US$189 per share. That's a big disposal, and it decreased their holding size by 15%, which is notable but not too bad.

View our latest analysis for Westinghouse Air Brake Technologies

Westinghouse Air Brake Technologies Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the CEO, President & Director, Rafael Santana, sold US$5.7m worth of shares at a price of US$141 per share. That means that an insider was selling shares at slightly below the current price (US$190). 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. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. This single sale was just 25% of Rafael Santana's stake.

In the last year Westinghouse Air Brake Technologies insiders didn't buy any company stock. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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).

Insider Ownership Of Westinghouse Air Brake Technologies

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Westinghouse Air Brake Technologies insiders own about US$219m worth of shares (which is 0.7% of the company). Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Do The Westinghouse Air Brake Technologies Insider Transactions Indicate?

Insiders haven't bought Westinghouse Air Brake Technologies stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. On the plus side, Westinghouse Air Brake Technologies makes money, and is growing profits. It is good to see high insider ownership, but the insider selling leaves us cautious. While it's good to be aware of 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. In terms of investment risks, we've identified 1 warning sign with Westinghouse Air Brake Technologies and understanding it should be part of your investment process.

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.