Insiders who sold Altice USA, Inc. (NYSE:ATUS) earlier this year probably made the right call as market cap dropped by US$123m

Over the past year, insiders sold US$315k worth of Altice USA, Inc. (NYSE:ATUS) stock at an average price of US$9.99 per share allowing them to get the most out of their money. The company’s market cap plunged by US$123m after price dropped by 6.6% last week but insiders were able to limit their loss to an extent.

While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

Check out our latest analysis for Altice USA

The Last 12 Months Of Insider Transactions At Altice USA

In the last twelve months, the biggest single sale by an insider was when the Special Advisor & Director, Charles Stewart, sold US$315k worth of shares at a price of US$9.99 per share. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. The good news is that this large sale was at well above current price of US$3.81. So it may not shed much light on insider confidence at current levels. The only individual insider seller over the last year was Charles Stewart.

You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insider Ownership Of Altice USA

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. It's great to see that Altice USA insiders own 52% of the company, worth about US$897m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At Altice USA Tell Us?

The fact that there have been no Altice USA insider transactions recently certainly doesn't bother us. While we feel good about high insider ownership of Altice USA, we can't say the same about the selling of shares. 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 Altice USA (of which 2 are concerning!) you should know about.

Of course Altice USA 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, but not derivative transactions.

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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.