18% Of This European Wax Center Insider's Holdings Were Sold

Looking at European Wax Center, Inc.'s (NASDAQ:EWCZ ) insider transactions over the last year, we can see that insiders were net sellers. That is, there were more number of shares sold by insiders than there were purchased.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for European Wax Center

The Last 12 Months Of Insider Transactions At European Wax Center

In fact, the recent sale by Cynthia Thomassee was the biggest sale of European Wax Center 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$10.39. 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).

Cynthia Thomassee divested 11.20k shares over the last 12 months at an average price of US$11.41. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

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

European Wax Center Insiders Are Selling The Stock

Over the last three months, we've seen significant insider selling at European Wax Center. In total, insider Cynthia Thomassee sold US$128k worth of shares in that time, and we didn't record any purchases whatsoever. This may suggest that some insiders think that the shares are not cheap.

Does European Wax Center Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. From looking at our data, insiders own US$4.9m worth of European Wax Center stock, about 0.8% of the company. I generally like to see higher levels of ownership.

What Might The Insider Transactions At European Wax Center Tell Us?

An insider sold stock recently, but they haven't been buying. And there weren't any purchases to give us comfort, over the last year. But since European Wax Center is profitable and growing, we're not too worried by this. When you combine this with the relatively low insider ownership, we are very cautious about the stock. We'd certainly practice some caution before buying! 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. At Simply Wall St, we've found that European Wax Center has 2 warning signs (1 makes us a bit uncomfortable!) that deserve your attention before going any further with your analysis.

But note: European Wax Center 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 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.