NXP Semiconductors Executive VP & CFO William Betz Sells 79% Of Holding

We wouldn't blame NXP Semiconductors N.V. (NASDAQ:NXPI) shareholders if they were a little worried about the fact that William Betz, the Executive VP & CFO recently netted about US$1.5m selling shares at an average price of US$202. Probably the most concerning element of the whole transaction is that the disposal amounted to 79% of their entire holding.

Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit.

The Last 12 Months Of Insider Transactions At NXP Semiconductors

In fact, the recent sale by Executive VP & CFO William Betz was not their only sale of NXP Semiconductors shares this year. Earlier in the year, they fetched US$227 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$190. So it is hard to draw any strong conclusion from it.

Insiders in NXP Semiconductors didn't buy any shares in the last year. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

See our latest analysis for NXP Semiconductors

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 NXP Semiconductors Boast High Insider Ownership?

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 0.1% of NXP Semiconductors shares, worth about US$60m. 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 NXP Semiconductors Insiders?

An insider hasn't bought NXP Semiconductors 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. Insiders own shares, but we're still pretty cautious, given the history of sales. So we'd only buy after careful consideration. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Be aware that NXP Semiconductors is showing 2 warning signs in our investment analysis, and 1 of those is concerning...

But note: NXP Semiconductors 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.

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.