Insiders at Walgreens Boots Alliance, Inc. (NASDAQ:WBA) must be relieved they sold stock as market valuation descends to US$30b

Over the past year, insiders sold US$128k worth of Walgreens Boots Alliance, Inc. (NASDAQ:WBA) stock at an average price of US$47.16 per share allowing them to get the most out of their money. The company’s market cap plunged by US$1.5b after price dropped by 4.7% last week but insiders were able to limit their loss to an extent.

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.

Check out our latest analysis for Walgreens Boots Alliance

The Last 12 Months Of Insider Transactions At Walgreens Boots Alliance

The Independent Director, Nancy Schlichting, made the biggest insider sale in the last 12 months. That single transaction was for US$128k worth of shares at a price of US$47.16 each. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The good news is that this large sale was at well above current price of US$35.06. So it may not shed much light on insider confidence at current levels. Nancy Schlichting was the only individual insider to sell shares in the last twelve months.

You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

I will like Walgreens Boots Alliance 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 Walgreens Boots Alliance

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. Walgreens Boots Alliance insiders own about US$150m worth of shares (which is 0.5% of the company). 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 Does This Data Suggest About Walgreens Boots Alliance Insiders?

It doesn't really mean much that no insider has traded Walgreens Boots Alliance shares in the last quarter. It's heartening that insiders own plenty of stock, but we'd like to see more insider buying, since the last year of Walgreens Boots Alliance insider transactions don't fill us with confidence. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Walgreens Boots Alliance. Be aware that Walgreens Boots Alliance is showing 2 warning signs in our investment analysis, and 1 of those is a bit concerning...

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.