Have Insiders Sold Nasdaq Shares Recently?

Some Nasdaq, Inc. (NASDAQ:NDAQ) shareholders may be a little concerned to see that the Executive VP, Bradley Peterson, recently sold a substantial US$1.0m worth of stock at a price of US$75.32 per share. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 8.7%.

See our latest analysis for Nasdaq

Nasdaq Insider Transactions Over The Last Year

Notably, that recent sale by Bradley Peterson is the biggest insider sale of Nasdaq 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$73.92. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.

Nasdaq insiders didn't buy any shares 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 click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Does Nasdaq Boast High Insider Ownership?

Many investors like to check how much of a company is owned by 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's great to see that Nasdaq insiders own 0.6% of the company, worth about US$256m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Does This Data Suggest About Nasdaq Insiders?

Insiders haven't bought Nasdaq stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. It is good to see high insider ownership, but the insider selling leaves us cautious. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Nasdaq. Every company has risks, and we've spotted 3 warning signs for Nasdaq (of which 1 makes us a bit uncomfortable!) you should know about.

But note: Nasdaq 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.