Have Insiders Sold Utz Brands, Inc. (NYSE:UTZ) Shares Recently?

We wouldn't blame Utz Brands, Inc. (NYSE:UTZ) shareholders if they were a little worried about the fact that Chinh Chu, a company insider, recently netted about US$25m selling shares at an average price of US$16.66. That sale reduced their total holding by 29% which is hardly insignificant, but far from the worst we've seen.

See our latest analysis for Utz Brands

The Last 12 Months Of Insider Transactions At Utz Brands

Notably, that recent sale by Chinh Chu is the biggest insider sale of Utz Brands shares that we've seen in the last year. So we know that an insider sold shares at around the present share price of US$16.12. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

Happily, we note that in the last year insiders paid US$126k for 9.50k shares. But insiders sold 1.60m shares worth US$27m. All up, insiders sold more shares in Utz Brands than they bought, over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart 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: insiders have been buying them).

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. Utz Brands insiders own about US$214m worth of shares (which is 9.5% of the company). Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Does This Data Suggest About Utz Brands Insiders?

An insider sold stock recently, but they haven't been buying. Zooming out, the longer term picture doesn't give us much comfort. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. While we like knowing 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. Case in point: We've spotted 1 warning sign for Utz Brands you should be aware of.

But note: Utz Brands may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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, but not derivative transactions.

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.