We’d be surprised if TreeHouse Foods, Inc. (NYSE:THS) shareholders haven’t noticed that the Executive VP, Thomas O’Neill, recently sold US$200k worth of stock at US$53.65 per share. On the bright side, that sale was only-3% of their holding, so we doubt it’s very meaningful, on its own.
TreeHouse Foods Insider Transactions Over The Last Year
In fact, the recent sale by Thomas O’Neill was the biggest sale of TreeHouse Foods shares made by an insider individual in the last twelve months, according to our records. So what is clear is that an insider saw fit to sell at around the current price of US$52.61. We generally don’t like to see insider selling, but the lower the sale price, the more it concerns us. 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).
In total, TreeHouse Foods insiders sold more than they bought over the last year. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
Does TreeHouse Foods Boast High Insider Ownership?
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. TreeHouse Foods insiders own about US$60m worth of shares. That equates to 2.0% of the company. While this is a strong but not outstanding level of insider ownership, it’s enough to indicate some alignment between management and smaller shareholders.
What Might The Insider Transactions At TreeHouse Foods Tell Us?
Insiders sold TreeHouse Foods shares recently, but they didn’t buy any. And our longer term analysis of insider transactions didn’t bring confidence, either. Insider ownership isn’t particularly high, so this analysis makes us cautious about the company. We’d think twice before buying! Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for TreeHouse Foods.
Of course TreeHouse Foods 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, but not derivative transactions.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
If you spot an error that warrants correction, please contact the editor at email@example.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.