We'd be surprised if Odyssey Marine Exploration, Inc. (NASDAQ:OMEX) shareholders haven't noticed that the Independent Lead Director, Mark Justh, recently sold US$358k worth of stock at US$6.90 per share. The eyebrow raising move amounted to a reduction of 19% in their holding.
Odyssey Marine Exploration Insider Transactions Over The Last Year
Notably, that recent sale by Mark Justh is the biggest insider sale of Odyssey Marine Exploration shares that we've seen in the last year. That means that an insider was selling shares at around the current price of US$6.90. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.
In the last twelve months insiders purchased 11.25k shares for US$67k. But they sold 51.87k shares for US$358k. 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!
I will like Odyssey Marine Exploration better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.
Insider Ownership of Odyssey Marine Exploration
For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Odyssey Marine Exploration insiders own about US$11m worth of shares. That equates to 12% of the company. 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 Odyssey Marine Exploration Insiders?
The stark truth for Odyssey Marine Exploration 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. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. To help with this, we've discovered 7 warning signs (4 are a bit unpleasant!) that you ought to be aware of before buying any shares in Odyssey Marine Exploration.
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, but not derivative transactions.
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.
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