Have Targa Resources Insiders Been Selling Stock?

We wouldn't blame Targa Resources Corp. (NYSE:TRGP) shareholders if they were a little worried about the fact that D. Pryor, the President of Logistics & Transportation recently netted about US$2.3m selling shares at an average price of US$113. That's a big disposal, and it decreased their holding size by 10%, which is notable but not too bad.

Check out our latest analysis for Targa Resources

Targa Resources Insider Transactions Over The Last Year

The Independent Director, Joe Perkins, made the biggest insider sale in the last 12 months. That single transaction was for US$7.7m worth of shares at a price of US$97.67 each. So it's clear an insider wanted to take some cash off the table, even below the current price of US$118. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent 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. We note that the biggest single sale was only 18% of Joe Perkins's holding.

In the last year Targa Resources 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. 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: Most of them are flying under the radar).

Does Targa Resources Boast High Insider Ownership?

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. A high insider ownership often makes company leadership more mindful of shareholder interests. Targa Resources insiders own about US$423m worth of shares (which is 1.6% of the company). I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At Targa Resources Tell Us?

Insiders sold Targa Resources shares recently, but they didn't buy any. And even if we look at the last year, we didn't see any purchases. But since Targa Resources is profitable and growing, we're not too worried by this. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. 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. Case in point: We've spotted 3 warning signs for Targa Resources you should be aware of.

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 of direct interests only, but not derivative transactions or indirect interests.

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