Kinsale Capital Group Insiders Sold US$6.0m Of Shares Suggesting Hesitancy

The fact that multiple Kinsale Capital Group, Inc. (NYSE:KNSL) insiders offloaded a considerable amount of shares over the past year could have raised some eyebrows amongst investors. Knowing whether insiders are buying is usually more helpful when evaluating insider transactions, as insider selling can have various explanations. However, if numerous insiders are selling, shareholders should investigate more.

Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

View our latest analysis for Kinsale Capital Group

Kinsale Capital Group Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the Independent Director, James Ritchie, sold US$1.1m worth of shares at a price of US$501 per share. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is US$442. So it may not shed much light on insider confidence at current levels.

Insiders in Kinsale Capital Group didn't buy any shares in the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

For those who like to find hidden gems this free list of small cap companies with recent insider purchasing, could be just the ticket.

Insiders At Kinsale Capital Group Have Sold Stock Recently

The last three months saw significant insider selling at Kinsale Capital Group. Specifically, insiders ditched US$1.8m worth of shares in that time, and we didn't record any purchases whatsoever. Overall this makes us a bit cautious, but it's not the be all and end all.

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. We usually like to see fairly high levels of insider ownership. Kinsale Capital Group insiders own about US$533m worth of shares (which is 5.2% 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.

What Might The Insider Transactions At Kinsale Capital Group Tell Us?

Insiders haven't bought Kinsale Capital Group 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. But since Kinsale Capital Group is profitable and growing, we're not too worried by this. 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 these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. You'd be interested to know, that we found 1 warning sign for Kinsale Capital Group and we suggest you have a look.

But note: Kinsale Capital Group 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 of direct interests only, but not derivative transactions or indirect interests.

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