Director Of Ingles Markets Sold 29% Of Their Shares

Anyone interested in Ingles Markets, Incorporated (NASDAQ:IMKT.A) should probably be aware that the Director, Laura Sharp, recently divested US$421k worth of shares in the company, at an average price of US$70.25 each. That sale was 29% of their holding, so it does make us raise an eyebrow.

See our latest analysis for Ingles Markets

Ingles Markets Insider Transactions Over The Last Year

Notably, that recent sale by Director Laura Sharp was not the only time they sold Ingles Markets shares this year. They previously made an even bigger sale of -US$600k worth of shares at a price of US$75.01 per share. So we know that an insider sold shares at around the present share price of US$68.31. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).

Laura Sharp divested 67.00k shares over the last 12 months at an average price of US$75.40. 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!

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Insider Ownership

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Ingles Markets insiders own 22% of the company, currently worth about US$289m 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 Ingles Markets 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. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 1 warning sign for Ingles Markets you should know about.

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.

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