David Wright Is The Independent Director of Verisk Analytics, Inc. (NASDAQ:VRSK) And They Just Sold 29% Of Their Shares

We wouldn't blame Verisk Analytics, Inc. (NASDAQ:VRSK) shareholders if they were a little worried about the fact that David Wright, the Independent Director recently netted about US$732k selling shares at an average price of US$183. That's a big disposal, and it decreased their holding size by 29%, which is notable but not too bad.

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Verisk Analytics Insider Transactions Over The Last Year

The Lead Independent Director, Christopher Foskett, made the biggest insider sale in the last 12 months. That single transaction was for US$833k worth of shares at a price of US$174 each. That means that an insider was selling shares at slightly below the current price (US$185). 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. We note that the biggest single sale was only 16% of Christopher Foskett's holding.

Verisk Analytics 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. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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Does Verisk Analytics Boast High Insider Ownership?

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. Verisk Analytics insiders own 0.9% of the company, currently worth about US$272m based on the recent share price. 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 Do The Verisk Analytics Insider Transactions Indicate?

An insider sold stock recently, but they haven't been buying. And even if we look at the last year, we didn't see any purchases. On the plus side, Verisk Analytics makes money, and is growing profits. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. 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. When we did our research, we found 4 warning signs for Verisk Analytics (1 shouldn't be ignored!) that we believe deserve your full attention.

But note: Verisk Analytics 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. 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.