This Insider Has Just Sold Shares In Sensient Technologies Corporation (NYSE:SXT)

By
Simply Wall St
Published
May 08, 2021
NYSE:SXT

Investors may wish to note that the Independent Director & Member of Scientific Advisory Committee of Sensient Technologies Corporation, Essie Whitelaw, recently netted US$99k from selling stock, receiving an average price of US$83.30. On the bright side, that's just a small sale and only reduced their holding by 5.8%.

Check out our latest analysis for Sensient Technologies

Sensient Technologies Insider Transactions Over The Last Year

The Independent Director & Chairman of Scientific Advisory Committee, Elaine Wedral, made the biggest insider sale in the last 12 months. That single transaction was for US$303k worth of shares at a price of US$77.05 each. That means that an insider was selling shares at slightly below the current price (US$84.84). 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. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. We note that the biggest single sale was only 14% of Elaine Wedral's holding.

All up, insiders sold more shares in Sensient Technologies than they bought, over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

insider-trading-volume
NYSE:SXT Insider Trading Volume May 8th 2021

For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Does Sensient Technologies Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 0.9% of Sensient Technologies shares, worth about US$32m. 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 Does This Data Suggest About Sensient Technologies Insiders?

Insiders sold stock recently, but they haven't been buying. And our longer term analysis of insider transactions didn't bring confidence, either. But it is good to see that Sensient Technologies is growing earnings. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We're in no rush to buy! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Sensient Technologies. You'd be interested to know, that we found 2 warning signs for Sensient Technologies and we suggest you have a look.

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, but not derivative transactions.

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This article by Simply Wall St is general in nature. 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.
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