indie Semiconductor Insider Sellers Miss The Bus As Stock Jumps 22%

Despite the fact that indie Semiconductor, Inc. (NASDAQ:INDI) stock rose 22% last week, insiders who sold US$377k worth of stock in the previous 12 months are likely to be better off. Selling at an average price of US$4.72, which is higher than the current price, may have been the wisest decision for these insiders as their investment would have been worth less now than when they sold.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

Our free stock report includes 2 warning signs investors should be aware of before investing in indie Semiconductor. Read for free now.

indie Semiconductor Insider Transactions Over The Last Year

The Co-Founder, Donald McClymont, made the biggest insider sale in the last 12 months. That single transaction was for US$377k worth of shares at a price of US$4.72 each. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. The good news is that this large sale was at well above current price of US$2.33. So it is hard to draw any strong conclusion from it. The only individual insider seller over the last year was Donald McClymont.

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!

View our latest analysis for indie Semiconductor

For those who like to find hidden gems this free list of small cap companies with recent insider purchasing, could be just the ticket.

Does indie Semiconductor Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Our data indicates that indie Semiconductor insiders own about US$5.7m worth of shares (which is 1.2% of the company). We do generally prefer see higher levels of insider ownership.

So What Do The indie Semiconductor Insider Transactions Indicate?

There haven't been any insider transactions in the last three months -- that doesn't mean much. The insider transactions at indie Semiconductor are not inspiring us to buy. And we're not picking up on high enough insider ownership to give us any comfort. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing indie Semiconductor. For example - indie Semiconductor has 2 warning signs we think you should be aware of.

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.

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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.