Have Insiders Sold CNO Financial Group Shares Recently?

Some CNO Financial Group, Inc. (NYSE:CNO) shareholders may be a little concerned to see that the CEO & Director, Gary Bhojwani, recently sold a substantial US$2.5m worth of stock at a price of US$41.00 per share. However, that sale only accounted for 5.6% of their holding, so arguably it doesn't say much about their conviction.

The Last 12 Months Of Insider Transactions At CNO Financial Group

In fact, the recent sale by Gary Bhojwani was the biggest sale of CNO Financial Group shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at below the current price (US$41.22). As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. It is worth noting that this sale was only 5.6% of Gary Bhojwani's holding.

In the last year CNO Financial Group insiders didn't buy any company stock. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

See our latest analysis for CNO Financial Group

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Insider Ownership Of CNO Financial Group

For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It's great to see that CNO Financial Group insiders own 2.7% of the company, worth about US$111m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At CNO Financial Group Tell Us?

An insider sold stock recently, but they haven't been buying. And there weren't any purchases to give us comfort, over the last year. But since CNO Financial Group is profitable and growing, we're not too worried by this. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. 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. At Simply Wall St, we've found that CNO Financial Group has 2 warning signs (1 can't be ignored!) that deserve your attention before going any further with your analysis.

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 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.