Have Flotek Industries Insiders Been Selling Stock?

We wouldn't blame Flotek Industries, Inc. (NYSE:FTK) shareholders if they were a little worried about the fact that Harsha Agadi, the Non-Executive Chairman recently netted about US$985k selling shares at an average price of US$14.71. That sale reduced their total holding by 23% which is hardly insignificant, but far from the worst we've seen.

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The Last 12 Months Of Insider Transactions At Flotek Industries

Over the last year, we can see that the biggest insider purchase was by Director Matthew Wilks for US$1.7m worth of shares, at about US$12.25 per share. We do like to see buying, but this purchase was made at well below the current price of US$14.50. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.

Matthew Wilks bought a total of 149.77k shares over the year at an average price of US$12.30. 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 Flotek Industries

Flotek Industries is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Insider Ownership Of Flotek Industries

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Flotek Industries insiders own 2.9% of the company, worth about US$12m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The Flotek Industries Insider Transactions Indicate?

An insider sold stock recently, but they haven't been buying. But we take heart from prior transactions. And insiders do own shares. So we're not overly bothered by recent selling. 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 instance, we've identified 3 warning signs for Flotek Industries (1 is a bit unpleasant) you should be aware of.

Of course Flotek Industries 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.