Don't Ignore The Insider Selling In Cohen & Steers

Some Cohen & Steers, Inc. (NYSE:CNS) shareholders may be a little concerned to see that the President & Chief Investment Officer, John Cheigh, recently sold a substantial US$2.0m worth of stock at a price of US$80.01 per share. That sale reduced their total holding by 15% which is hardly insignificant, but far from the worst we've seen.

We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free.

Cohen & Steers Insider Transactions Over The Last Year

In fact, the recent sale by John Cheigh was the biggest sale of Cohen & Steers shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to take some cash off the table, even below the current price of US$81.96. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. 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. This single sale was just 15% of John Cheigh's stake.

In the last year Cohen & Steers insiders didn't buy any company stock. 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 Cohen & Steers

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).

Insider Ownership Of Cohen & Steers

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. Cohen & Steers insiders own 46% of the company, currently worth about US$1.9b based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Does This Data Suggest About Cohen & Steers Insiders?

An insider sold Cohen & Steers shares recently, but they didn't buy any. And there weren't any purchases to give us comfort, over the last year. But since Cohen & Steers is profitable and growing, we're not too worried by this. It is good to see high insider ownership, but the insider selling leaves us cautious. While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Every company has risks, and we've spotted 3 warning signs for Cohen & Steers (of which 1 is a bit unpleasant!) you should know about.

Of course Cohen & Steers 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.