TETRA Technologies Falls To US$3.22, But Insiders Sold At Lower Price

TETRA Technologies, Inc.'s (NYSE:TTI) stock price has dropped 10% in the previous week, but insiders who sold US$60k in stock over the past year have had less luck. Insiders might have been better off holding onto their shares, given that the average selling price of US$4.99 is still below the current share price.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for TETRA Technologies

The Last 12 Months Of Insider Transactions At TETRA Technologies

In the last twelve months, the biggest single sale by an insider was when the Independent Director, Thomas Bates, sold US$60k worth of shares at a price of US$4.99 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (US$3.22). So it is hard to draw any strong conclusion from it. The only individual insider seller over the last year was Thomas Bates.

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).

Insider Ownership Of TETRA Technologies

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. Insiders own 10% of TETRA Technologies shares, worth about US$43m. 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 Do The TETRA Technologies Insider Transactions Indicate?

The fact that there have been no TETRA Technologies insider transactions recently certainly doesn't bother us. Our analysis of TETRA Technologies insider transactions leaves us cautious. But it's good to see that insiders own shares in the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing TETRA Technologies. To assist with this, we've discovered 1 warning sign that you should run your eye over to get a better picture of TETRA Technologies.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.

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