Insiders At Hilton Grand Vacations Sold US$4.2m In Stock, Alluding To Potential Weakness

Over the past year, many Hilton Grand Vacations Inc. (NYSE:HGV) insiders sold a significant stake in the company which may have piqued investors' interest. When evaluating insider transactions, knowing whether insiders are buying is usually more beneficial than knowing whether they are selling, as the latter can be open to many interpretations. However, if numerous insiders are selling, shareholders should investigate more.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

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Hilton Grand Vacations Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the Executive VP, Charles Corbin, for US$2.1m worth of shares, at about US$41.90 per share. So what is clear is that an insider saw fit to sell at around the current price of US$38.97. 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.

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!

View 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

For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It appears that Hilton Grand Vacations insiders own 1.5% of the company, worth about US$54m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

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

It doesn't really mean much that no insider has traded Hilton Grand Vacations shares in the last quarter. 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. Be aware that Hilton Grand Vacations is showing 3 warning signs in our investment analysis, and 1 of those is a bit concerning...

Of course Hilton Grand Vacations may not be the best stock to buy. So you may wish to see this free collection of high quality 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.