Have Golden Entertainment Insiders Been Selling Stock?

We'd be surprised if Golden Entertainment, Inc. (NASDAQ:GDEN) shareholders haven't noticed that the Independent Director, Mark Lipparelli, recently sold US$347k worth of stock at US$32.20 per share. That sale was 13% of their holding, so it does make us raise an eyebrow.

Check out our latest analysis for Golden Entertainment

The Last 12 Months Of Insider Transactions At Golden Entertainment

The President, Charles Protell, made the biggest insider sale in the last 12 months. That single transaction was for US$1.1m worth of shares at a price of US$41.42 each. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (US$31.37). So it is hard to draw any strong conclusion from it.

In the last year Golden Entertainment insiders didn't buy any company stock. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

I will like Golden Entertainment better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

Does Golden Entertainment Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 5.6% of Golden Entertainment shares, worth about US$50m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The Golden Entertainment Insider Transactions Indicate?

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 Golden Entertainment is profitable and growing, we're not too worried by this. While insiders do own shares, they don't own a heap, and they have been selling. So we'd only buy after careful consideration. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Golden Entertainment. Case in point: We've spotted 5 warning signs for Golden Entertainment you should be aware of, and 3 of them make us uncomfortable.

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.