Stock Analysis

Torrid Holdings Insider Buyers Net US$949k Despite 13% Stock Decline

NYSE:CURV
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Torrid Holdings Inc. (NYSE:CURV) insiders who acquired shares over the previous 12 months, can probably afford to ignore the recent 13% decline in the stock price. After accounting for the recent loss, the US$299.5k worth of shares they purchased is now worth US$1.25m, suggesting a good return on their investment.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

View our latest analysis for Torrid Holdings

Torrid Holdings Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by Chief Commercial Officer Mark Mizicko for US$300k worth of shares, at about US$1.33 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$5.55. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

insider-trading-volume
NYSE:CURV Insider Trading Volume January 11th 2024

Torrid Holdings is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership Of Torrid Holdings

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 12% of Torrid Holdings shares, worth about US$69m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Does This Data Suggest About Torrid Holdings Insiders?

It doesn't really mean much that no insider has traded Torrid Holdings shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. Insiders do have a stake in Torrid Holdings and their transactions don't cause us concern. 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 Torrid Holdings (2 shouldn't be ignored!) that we believe deserve your full attention.

But note: Torrid Holdings 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.