Stock Analysis

Have Insiders Sold Build-A-Bear Workshop Shares Recently?

Published
NYSE:BBW

We'd be surprised if Build-A-Bear Workshop, Inc. (NYSE:BBW) shareholders haven't noticed that the Chief Administrative Officer, Eric Fencl, recently sold US$366k worth of stock at US$40.28 per share. On the bright side, that sale was only 6.6% of their holding, so we doubt it's very meaningful, on its own.

View our latest analysis for Build-A-Bear Workshop

The Last 12 Months Of Insider Transactions At Build-A-Bear Workshop

In the last twelve months, the biggest single sale by an insider was when the President, Sharon John, sold US$1.7m worth of shares at a price of US$35.19 per share. That means that an insider was selling shares at slightly below the current price (US$42.50). 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. However, while insider selling is sometimes discouraging, it's only a weak signal. This single sale was just 10% of Sharon John's stake.

Build-A-Bear Workshop insiders didn't buy any shares over the last year. 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!

NYSE:BBW Insider Trading Volume December 12th 2024

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 Build-A-Bear Workshop Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Build-A-Bear Workshop insiders own 7.7% of the company, worth about US$42m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About Build-A-Bear Workshop Insiders?

Insiders haven't bought Build-A-Bear Workshop stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. But since Build-A-Bear Workshop is profitable and growing, we're not too worried by this. Insiders own shares, but we're still pretty cautious, given the history of sales. We're in no rush to buy! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. To assist with this, we've discovered 1 warning sign that you should run your eye over to get a better picture of Build-A-Bear Workshop.

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 of direct interests only, but not derivative transactions or indirect interests.

Valuation is complex, but we're here to simplify it.

Discover if Build-A-Bear Workshop might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

Access Free Analysis

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.