Insiders At Las Vegas Sands Sold US$12m In Stock, Alluding To Potential Weakness

In the last year, many Las Vegas Sands Corp. (NYSE:LVS) insiders sold a substantial stake in the company which may have sparked shareholders' attention. Knowing whether insiders are buying is usually more helpful when evaluating insider transactions, as insider selling can have various explanations. However, if numerous insiders are selling, shareholders should investigate more.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

We've discovered 2 warning signs about Las Vegas Sands. View them for free.

The Last 12 Months Of Insider Transactions At Las Vegas Sands

The Chairman, Robert Goldstein, made the biggest insider sale in the last 12 months. That single transaction was for US$6.4m worth of shares at a price of US$53.73 each. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is US$33.94. So it may not shed much light on insider confidence at current levels.

Over the last year we saw more insider selling of Las Vegas Sands shares, than buying. 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!

See our latest analysis for Las Vegas Sands

If you are like me, then you will not want to miss this free list of small cap stocks that are not only being bought by insiders but also have attractive valuations.

Las Vegas Sands Insiders Bought Stock Recently

Over the last quarter, Las Vegas Sands insiders have spent a meaningful amount on shares. insider Muktesh Pant spent US$1.0m on stock, and there wasn't any selling. This could be interpreted as suggesting a positive outlook.

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. Las Vegas Sands insiders own about US$4.3b worth of shares (which is 19% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

What Might The Insider Transactions At Las Vegas Sands Tell Us?

The recent insider purchase is heartening. But we can't say the same for the transactions over the last 12 months. The recent buying by an insider , along with high insider ownership, suggest that Las Vegas Sands insiders are fairly aligned, and optimistic. 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. In terms of investment risks, we've identified 2 warning signs with Las Vegas Sands and understanding these should be part of your investment process.

But note: Las Vegas Sands 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.