This Insider Has Just Sold Shares In RadNet

Some RadNet, Inc. (NASDAQ:RDNT) shareholders may be a little concerned to see that the Lead Independent Director, David Swartz, recently sold a substantial US$1.3m worth of stock at a price of US$50.84 per share. That sale reduced their total holding by 11% which is hardly insignificant, but far from the worst we've seen.

See our latest analysis for RadNet

The Last 12 Months Of Insider Transactions At RadNet

The President & COO of Western Operations, Norman Hames, made the biggest insider sale in the last 12 months. That single transaction was for US$4.2m worth of shares at a price of US$63.08 each. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The silver lining is that this sell-down took place above the latest price (US$45.92). So it may not tell us anything about how insiders feel about the current share price.

Insiders in RadNet didn't buy any shares in the last year. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

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Insider Ownership

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that RadNet insiders own 11% of the company, worth about US$374m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Do The RadNet Insider Transactions Indicate?

Insiders haven't bought RadNet stock in the last three months, but there was some selling. Looking to the last twelve months, our data doesn't show any insider buying. 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. For example - RadNet has 2 warning signs we think you should be aware of.

Of course RadNet 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.