This Insider Has Just Sold Shares In AptarGroup

Some AptarGroup, Inc. (NYSE:ATR) shareholders may be a little concerned to see that the President of Aptar Beauty, Marc Prieur, recently sold a substantial US$673k worth of stock at a price of US$168 per share. That sale reduced their total holding by 24% which is hardly insignificant, but far from the worst we've seen.

See our latest analysis for AptarGroup

AptarGroup Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the President of Aptar Asia, Xiangwei Gong, sold US$1.1m worth of shares at a price of US$147 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of US$168. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. However, while insider selling is sometimes discouraging, it's only a weak signal. It is worth noting that this sale was only 35% of Xiangwei Gong's holding.

In the last year AptarGroup insiders didn't buy any company stock. 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: Most of them are flying under the radar).

Insider Ownership

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. It appears that AptarGroup insiders own 0.7% of the company, worth about US$78m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About AptarGroup Insiders?

Insiders sold AptarGroup shares recently, but they didn't buy any. And there weren't any purchases to give us comfort, over the last year. But since AptarGroup is profitable and growing, we're not too worried by this. While insiders do own shares, they don't own a heap, and they have been selling. So we'd only buy after careful consideration. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing AptarGroup. Case in point: We've spotted 1 warning sign for AptarGroup you should be aware of.

Of course AptarGroup 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.