Senior VP Of Amneal Pharmaceuticals Sold 76% Of Their Shares

Anyone interested in Amneal Pharmaceuticals, Inc. (NASDAQ:AMRX) should probably be aware that the Senior VP, Jason Daly, recently divested US$376k worth of shares in the company, at an average price of US$8.61 each. Equally important, that sale actually reduced their holding by a full 76% which hardly makes us feel bullish about the stock.

View our latest analysis for Amneal Pharmaceuticals

The Last 12 Months Of Insider Transactions At Amneal Pharmaceuticals

In the last twelve months, the biggest single sale by an insider was when the Executive VP & Chief Human Resources Officer, Nikita Shah, sold US$775k worth of shares at a price of US$7.75 per share. That means that an insider was selling shares at slightly below the current price (US$8.41). When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. It is worth noting that this sale was only 26% of Nikita Shah's holding.

Amneal Pharmaceuticals insiders didn't buy any shares over the last year. 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!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Does Amneal Pharmaceuticals Boast High Insider Ownership?

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. It's great to see that Amneal Pharmaceuticals insiders own 53% of the company, worth about US$1.4b. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

What Might The Insider Transactions At Amneal Pharmaceuticals Tell Us?

An insider hasn't bought Amneal Pharmaceuticals stock in the last three months, but there was some selling. Looking to the last twelve months, our data doesn't show any insider buying. It is good to see high insider ownership, but the insider selling leaves us cautious. 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. Our analysis shows 3 warning signs for Amneal Pharmaceuticals (1 can't be ignored!) and we strongly recommend you look at them before investing.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.