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Trade Alert: The Chief Accounting Officer Of Wyndham Hotels & Resorts, Inc. (NYSE:WH), Nicola Rossi, Has Sold Some Shares Recently
We'd be surprised if Wyndham Hotels & Resorts, Inc. (NYSE:WH) shareholders haven't noticed that the Chief Accounting Officer, Nicola Rossi, recently sold US$201k worth of stock at US$66.90 per share. In particular, we note that the sale equated to a 80% reduction in their position size, which doesn't exactly instill confidence.
View our latest analysis for Wyndham Hotels & Resorts
The Last 12 Months Of Insider Transactions At Wyndham Hotels & Resorts
Over the last year, we can see that the biggest insider sale was by the Non-Executive Chairman, Stephen Holmes, for US$4.9m worth of shares, at about US$49.82 per share. That means that even when the share price was below the current price of US$71.28, an insider wanted to cash in some shares. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. We note that the biggest single sale was only 13% of Stephen Holmes's holding.
All up, insiders sold more shares in Wyndham Hotels & Resorts than they bought, over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).
Insider Ownership of Wyndham Hotels & Resorts
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. Wyndham Hotels & Resorts insiders own about US$72m worth of shares. That equates to 1.1% of the company. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Does This Data Suggest About Wyndham Hotels & Resorts Insiders?
An insider sold Wyndham Hotels & Resorts shares recently, but they didn't buy any. And our longer term analysis of insider transactions didn't bring confidence, either. Insiders own shares, but we're still pretty cautious, given the history of sales. We're in no rush to buy! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we've found that Wyndham Hotels & Resorts has 2 warning signs (1 is potentially serious!) that deserve your attention before going any further with your analysis.
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, but not derivative transactions.
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What are the risks and opportunities for Wyndham Hotels & Resorts?
Wyndham Hotels & Resorts, Inc. operates as a hotel franchisor worldwide.
Rewards
Earnings are forecast to grow 4.36% per year
Earnings grew by 85.1% over the past year
Risks
Significant insider selling over the past 3 months
Has a high level of debt
Further research on
Wyndham Hotels & Resorts
This article by Simply Wall St is general in nature. 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.
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