Have Insiders Sold Dutch Bros Shares Recently?

We wouldn't blame Dutch Bros Inc. (NYSE:BROS) shareholders if they were a little worried about the fact that Travis Boersma, the Co-Founder & Executive Chairman of the Board recently netted about US$49m selling shares at an average price of US$71.16. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 9.8%.

We've discovered 1 warning sign about Dutch Bros. View them for free.

The Last 12 Months Of Insider Transactions At Dutch Bros

Notably, that recent sale by Travis Boersma is the biggest insider sale of Dutch Bros shares that we've seen in the last year. So what is clear is that an insider saw fit to sell at around the current price of US$68.46. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

Travis Boersma ditched 1.34m shares over the year. The average price per share was US$66.04. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

Check out our latest analysis for Dutch Bros

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Insider Ownership

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Dutch Bros insiders own 5.1% of the company, worth about US$597m. 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 Dutch Bros Insiders?

An insider sold Dutch Bros shares recently, but they didn't buy any. And there weren't any purchases to give us comfort, over the last year. But it is good to see that Dutch Bros is growing earnings. 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. 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. Every company has risks, and we've spotted 1 warning sign for Dutch Bros you should know about.

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.