Have Insiders Sold American Tower Corporation (NYSE:AMT) Shares Recently?

By
Simply Wall St
Published
March 18, 2022
NYSE:AMT
Source: Shutterstock

We wouldn't blame American Tower Corporation (NYSE:AMT) shareholders if they were a little worried about the fact that Robert Meyer, the Senior VP & Chief Accounting Officer recently netted about US$660k selling shares at an average price of US$236. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 9.4%.

View our latest analysis for American Tower

The Last 12 Months Of Insider Transactions At American Tower

Notably, that recent sale by Senior VP & Chief Accounting Officer Robert Meyer was not the only time they sold American Tower shares this year. Earlier in the year, they fetched US$285 per share in a -US$1.5m sale. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is US$245. So it may not shed much light on insider confidence at current levels.

Insiders in American Tower didn't buy any shares in the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

insider-trading-volume
NYSE:AMT Insider Trading Volume March 18th 2022

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

Does American Tower Boast High Insider Ownership?

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. American Tower insiders own 0.3% of the company, currently worth about US$353m 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 American Tower Insiders?

An insider sold American Tower shares recently, but they didn't buy any. And even if we look at the last year, we didn't see any purchases. On the plus side, American Tower makes money, and is growing profits. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. To that end, you should learn about the 2 warning signs we've spotted with American Tower (including 1 which makes us a bit uncomfortable).

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, but not derivative transactions.

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