Have Insiders Sold Select Medical Holdings Corporation (NYSE:SEM) Shares Recently?

By
Simply Wall St
Published
May 29, 2021
NYSE:SEM

We wouldn't blame Select Medical Holdings Corporation (NYSE:SEM) shareholders if they were a little worried about the fact that Martin Jackson, the Executive VP & CFO recently netted about US$8.0m selling shares at an average price of US$40.17. That sale reduced their total holding by 14% which is hardly insignificant, but far from the worst we've seen.

See our latest analysis for Select Medical Holdings

Select Medical Holdings Insider Transactions Over The Last Year

In fact, the recent sale by Martin Jackson was the biggest sale of Select Medical Holdings shares made by an insider individual in the last twelve months, according to our records. So we know that an insider sold shares at around the present share price of US$40.07. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.

In the last year Select Medical Holdings 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!

insider-trading-volume
NYSE:SEM Insider Trading Volume May 30th 2021

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insider Ownership of Select Medical Holdings

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Select Medical Holdings insiders own 18% of the company, currently worth about US$983m based on the recent share price. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At Select Medical Holdings Tell Us?

Insiders haven't bought Select Medical Holdings stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. But it is good to see that Select Medical Holdings is growing earnings. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we found 4 warning signs for Select Medical Holdings that deserve your attention before buying any shares.

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, but not derivative transactions.

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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. 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.
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