VP & Chief Accounting Officer Of Perdoceo Education Sold 33% Of Their Shares

Anyone interested in Perdoceo Education Corporation (NASDAQ:PRDO) should probably be aware that the VP & Chief Accounting Officer, Michele Peppers, recently divested US$262k worth of shares in the company, at an average price of US$20.99 each. That sale was 33% of their holding, so it does make us raise an eyebrow.

Check out our latest analysis for Perdoceo Education

Perdoceo Education Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the President, Todd Nelson, sold US$852k worth of shares at a price of US$17.77 per share. That means that even when the share price was below the current price of US$22.17, an insider wanted to cash in some shares. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. We note that the biggest single sale was only 19% of Todd Nelson's holding.

In the last year Perdoceo Education 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!

For those who like to find hidden gems this free list of small cap companies with recent insider purchasing, could be just the ticket.

Does Perdoceo Education Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. It appears that Perdoceo Education insiders own 6.5% of the company, worth about US$95m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

What Might The Insider Transactions At Perdoceo Education Tell Us?

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. But since Perdoceo Education 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. We'd practice some caution before buying! While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. At Simply Wall St, we found 2 warning signs for Perdoceo Education that deserve your attention before buying any shares.

But note: Perdoceo Education 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.