Executive VP Of Ziff Davis Sold 37% Of Their Shares

We'd be surprised if Ziff Davis, Inc. (NASDAQ:ZD) shareholders haven't noticed that the Executive VP, Jeremy Rossen, recently sold US$289k worth of stock at US$69.43 per share. The eyebrow raising move amounted to a reduction of 37% in their holding.

See our latest analysis for Ziff Davis

The Last 12 Months Of Insider Transactions At Ziff Davis

In the last twelve months, the biggest single purchase by an insider was when CEO, President & Director Vivek Shah bought US$589k worth of shares at a price of US$58.86 per share. Even though the purchase was made at a significantly lower price than the recent price (US$66.88), we still think insider buying is a positive. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

In the last twelve months insiders purchased 13.78k shares for US$815k. On the other hand they divested 4.16k shares, for US$289k. In the last twelve months there was more buying than selling by Ziff Davis insiders. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

Does Ziff Davis Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 1.6% of Ziff Davis shares, worth about US$49m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Do The Ziff Davis Insider Transactions Indicate?

An insider hasn't bought Ziff Davis stock in the last three months, but there was some selling. But we take heart from prior transactions. We like that insiders own a fair amount of the company. So we're happy enough to look past some selling. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 3 warning signs for Ziff Davis you should know about.

But note: Ziff Davis 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.