Hilton Grand Vacations Insiders Sold US$4.9m Of Shares Suggesting Hesitancy

In the last year, many Hilton Grand Vacations Inc. (NYSE:HGV) insiders sold a substantial stake in the company which may have sparked shareholders' attention. When analyzing insider transactions, it is usually more valuable to know whether insiders are buying versus knowing if they are selling, as the latter sends an ambiguous message. However, shareholders should take a deeper look if several insiders are selling stock over a specific time period.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

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The Last 12 Months Of Insider Transactions At Hilton Grand Vacations

Over the last year, we can see that the biggest insider sale was by the Senior EVP, Charles Corbin, for US$2.1m worth of shares, at about US$41.90 per share. That means that an insider was selling shares at slightly below the current price (US$46.24). When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. It is worth noting that this sale was only 45% of Charles Corbin's holding.

Hilton Grand Vacations insiders didn't buy any shares over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

See our latest analysis for Hilton Grand Vacations

I will like Hilton Grand Vacations 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.

Insider Ownership

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Hilton Grand Vacations insiders own about US$67m worth of shares. That equates to 1.7% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

What Might The Insider Transactions At Hilton Grand Vacations Tell Us?

The fact that there have been no Hilton Grand Vacations insider transactions recently certainly doesn't bother us. Our analysis of Hilton Grand Vacations insider transactions leaves us cautious. But it's good to see that insiders own shares in the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Hilton Grand Vacations. Our analysis shows 3 warning signs for Hilton Grand Vacations (1 is a bit concerning!) and we strongly recommend you look at these before investing.

But note: Hilton Grand Vacations 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.