This Insider Has Just Sold Shares In Walmart Inc. (NYSE:WMT)

Some Walmart Inc. (NYSE:WMT) shareholders may be a little concerned to see that the Executive VP, John Furner, recently sold a substantial US$3.8m worth of stock at a price of US$142 per share. That's a big disposal, and it decreased their holding size by 20%, which is notable but not too bad.

View our latest analysis for Walmart

Walmart Insider Transactions Over The Last Year

In fact, the recent sale by John Furner was the biggest sale of Walmart shares made by an insider individual in the last twelve months, according to our records. So we know that an insider sold shares at around the present share price of US$142. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. 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).

Over the last year we saw more insider selling of Walmart shares, than buying. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Does Walmart Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. Walmart insiders own about US$3.5b worth of shares (which is 0.9% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Does This Data Suggest About Walmart Insiders?

The insider sales have outweighed the insider buying, at Walmart, in the last three months. Despite some insider buying, the longer term picture doesn't make us feel much more positive. 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. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Walmart. Case in point: We've spotted 2 warning signs for Walmart you should be aware of.

Of course Walmart 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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