Insider Traders Lose US$196k As Glatfelter Drops

Insiders who acquired US$356.2k worth of Glatfelter Corporation's (NYSE:GLT) stock at an average price of US$3.56 in the past 12 months may be dismayed by the recent 13% price decline. Insiders invest with the hopes of seeing their money grow in value over time. However, as a result of recent losses, their initial investment is now only worth US$160.0k, which is not what they expected.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Glatfelter

Glatfelter Insider Transactions Over The Last Year

The Independent Non-Executive Chairman Kevin Fogarty made the biggest insider purchase in the last 12 months. That single transaction was for US$235k worth of shares at a price of US$3.58 each. That means that even when the share price was higher than US$1.60 (the recent price), an insider wanted to purchase shares. It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. As a general rule, we feel more positive about a stock when an insider has bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price. Kevin Fogarty was the only individual insider to buy shares in the last twelve months.

Kevin Fogarty bought a total of 100.00k shares over the year at an average price of US$3.56. 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!

Glatfelter is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insider Ownership

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. From looking at our data, insiders own US$3.4m worth of Glatfelter stock, about 4.5% of the company. We consider this fairly low insider ownership.

What Might The Insider Transactions At Glatfelter Tell Us?

The fact that there have been no Glatfelter insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. The transactions are fine but it'd be more encouraging if Glatfelter insiders bought more shares in the company. 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 4 warning signs for Glatfelter (3 are a bit concerning) you should be aware of.

But note: Glatfelter 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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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.