Have ZoomInfo Technologies Insiders Been Selling Stock?

We'd be surprised if ZoomInfo Technologies Inc. (NASDAQ:ZI) shareholders haven't noticed that an insider, James Roth, recently sold US$357k worth of stock at US$11.91 per share. Equally important, that sale actually reduced their holding by a full 80% which hardly makes us feel bullish about the stock.

View our latest analysis for ZoomInfo Technologies

The Last 12 Months Of Insider Transactions At ZoomInfo Technologies

Over the last year, we can see that the biggest insider purchase was by Founder Henry Schuck for US$13m worth of shares, at about US$8.49 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$11.66. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Henry Schuck bought a total of 1.99m shares over the year at an average price of US$8.93. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.

Does ZoomInfo 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. ZoomInfo Technologies insiders own 3.5% of the company, currently worth about US$139m based on the recent share price. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At ZoomInfo Technologies Tell Us?

Insiders sold ZoomInfo Technologies shares recently, but they didn't buy any. But we take heart from prior transactions. And insider ownership remains quite considerable. So the recent selling doesn't worry us. 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. Every company has risks, and we've spotted 4 warning signs for ZoomInfo Technologies you should know about.

But note: ZoomInfo Technologies 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.