Don't Ignore The Insider Selling In CBRE Group

We'd be surprised if CBRE Group, Inc. (NYSE:CBRE) shareholders haven't noticed that the COO & CEO of Advisory Services, Vikramaditya Kohli, recently sold US$152k worth of stock at US$152 per share. On the bright side, that sale was only 3.1% of their holding, so we doubt it's very meaningful, on its own.

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CBRE Group Insider Transactions Over The Last Year

The Chief Executive Officer of Trammell Crow Company, Daniel Queenan, made the biggest insider sale in the last 12 months. That single transaction was for US$1.4m worth of shares at a price of US$140 each. That means that even when the share price was below the current price of US$150, an insider wanted to cash in some shares. 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 4.6% of Daniel Queenan's holding.

In the last year CBRE Group insiders didn't buy any company stock. 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!

See our latest analysis for CBRE Group

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Does CBRE Group Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. CBRE Group insiders own 0.7% of the company, currently worth about US$314m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Do The CBRE Group Insider Transactions Indicate?

An insider sold CBRE Group shares recently, but they didn't buy any. Looking to the last twelve months, our data doesn't show any insider buying. On the plus side, CBRE Group makes money, and is growing profits. It is good to see high insider ownership, but the insider selling leaves us cautious. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing CBRE Group. For example - CBRE Group has 1 warning sign we think you should be aware of.

But note: CBRE Group 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.