Insiders at Deckers Outdoor Corporation (NYSE:DECK) sold US$1.4m worth of stock, possibly indicating weakness in the future

By
Simply Wall St
Published
November 16, 2021
NYSE:DECK
Source: Shutterstock

In the last year, many Deckers Outdoor Corporation (NYSE:DECK) insiders sold a substantial stake in the company which may have sparked shareholders' attention. When analyzing insider transactions, it is usually more valuable to know whether insiders are buying versus knowing if they are selling, as the latter sends an ambiguous message. However, when multiple insiders sell stock over a specific duration, shareholders should take notice as that could possibly be a red flag.

Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

See our latest analysis for Deckers Outdoor

The Last 12 Months Of Insider Transactions At Deckers Outdoor

The Chief Financial Officer, Steven Fasching, made the biggest insider sale in the last 12 months. That single transaction was for US$653k worth of shares at a price of US$435 each. That means that an insider was selling shares at around the current price of US$429. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.

Deckers Outdoor insiders didn't buy any shares over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

insider-trading-volume
NYSE:DECK Insider Trading Volume November 17th 2021

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).

Insider Ownership of Deckers Outdoor

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. It's great to see that Deckers Outdoor insiders own 1.0% of the company, worth about US$121m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At Deckers Outdoor Tell Us?

There haven't been any insider transactions in the last three months -- that doesn't mean much. While we feel good about high insider ownership of Deckers Outdoor, we can't say the same about the selling of shares. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Deckers Outdoor.

Of course Deckers Outdoor may not be the best stock to buy. So you may wish to see this free collection of high quality 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.

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