We wouldn't blame PotlatchDeltic Corporation (NASDAQ:PCH) shareholders if they were a little worried about the fact that Michael Covey, the Executive Chairman of the Board recently netted about US$4.8m selling shares at an average price of US$60.09. That's a big disposal, and it decreased their holding size by 25%, which is notable but not too bad.
PotlatchDeltic Insider Transactions Over The Last Year
In fact, the recent sale by Michael Covey was the biggest sale of PotlatchDeltic shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at around the current price of US$59.36. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.
Over the last year we saw more insider selling of PotlatchDeltic shares, than buying. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
I will like PotlatchDeltic better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.
Does PotlatchDeltic Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. PotlatchDeltic insiders own 3.1% of the company, currently worth about US$123m based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Does This Data Suggest About PotlatchDeltic Insiders?
Insiders haven't bought PotlatchDeltic stock in the last three months, but there was some selling. Zooming out, the longer term picture doesn't give us much comfort. But it is good to see that PotlatchDeltic is growing earnings. 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. When we did our research, we found 4 warning signs for PotlatchDeltic (1 is a bit unpleasant!) that we believe deserve your full attention.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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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