Trade Alert: Executive VP and Chief Product & Innovation Officer Of EVERTEC Miguel Vizcarrondo Carrión Has Sold Stock

We wouldn't blame EVERTEC, Inc. (NYSE:EVTC) shareholders if they were a little worried about the fact that Miguel Vizcarrondo Carrión, the Executive VP and Chief Product & Innovation Officer recently netted about US$1.5m selling shares at an average price of US$36.44. That sale reduced their total holding by 38% which is hardly insignificant, but far from the worst we've seen.

Our free stock report includes 2 warning signs investors should be aware of before investing in EVERTEC. Read for free now.

EVERTEC Insider Transactions Over The Last Year

The President, Morgan Schuessler, made the biggest insider sale in the last 12 months. That single transaction was for US$3.0m worth of shares at a price of US$37.45 each. So what is clear is that an insider saw fit to sell at around the current price of US$36.66. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).

Insiders in EVERTEC didn't buy any shares in the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

View our latest analysis for EVERTEC

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 EVERTEC

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that EVERTEC insiders own 0.8% of the company, worth about US$19m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Does This Data Suggest About EVERTEC Insiders?

Insiders sold stock recently, but they haven't been buying. Looking to the last twelve months, our data doesn't show any insider buying. But it is good to see that EVERTEC is growing earnings. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. So we'd only buy after careful consideration. 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. For example - EVERTEC has 2 warning signs we think you should be aware of.

Of course EVERTEC 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.