We'd be surprised if ALJ Regional Holdings, Inc. (NASDAQ:ALJJ) shareholders haven't noticed that the CEO & Executive Chairman, Jess Ravich, recently sold US$498k worth of stock at US$1.80 per share. However, the silver lining is that the sale only reduced their total holding by 1.9%, so we're hesitant to read anything much into it, on its own.
ALJ Regional Holdings Insider Transactions Over The Last Year
Notably, that recent sale by Jess Ravich is the biggest insider sale of ALJ Regional Holdings shares that we've seen in the last year. So we know that an insider sold shares at around the present share price of US$1.63. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.
In the last year ALJ Regional Holdings insiders didn't buy any company stock. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).
For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. It's great to see that ALJ Regional Holdings insiders own 48% of the company, worth about US$33m. 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 ALJ Regional Holdings Insiders?
Insiders haven't bought ALJ Regional Holdings stock in the last three months, but there was some selling. Looking to the last twelve months, our data doesn't show any insider buying. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. 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. To that end, you should learn about the 3 warning signs we've spotted with ALJ Regional Holdings (including 1 which shouldn't be ignored).
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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