Have Insiders Sold Core Scientific Shares Recently?

We'd be surprised if Core Scientific, Inc. (NASDAQ:CORZ) shareholders haven't noticed that the Executive VP, Todd Duchene, recently sold US$427k worth of stock at US$17.10 per share. On the bright side, that sale was only 7.2% of their holding, so we doubt it's very meaningful, on its own.

View our latest analysis for Core Scientific

Core Scientific Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by Independent Director Jordan Levy for US$497k worth of shares, at about US$10.20 per share. We do like to see buying, but this purchase was made at well below the current price of US$18.23. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

In the last twelve months insiders purchased 468.76k shares for US$2.0m. But they sold 86.92k shares for US$1.0m. In the last twelve months there was more buying than selling by Core Scientific insiders. They paid about US$4.30 on average. We don't deny that it is nice to see insiders buying stock in the company. However, you should keep in mind that they bought when the share price was meaningfully below today's levels. 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!

Core Scientific is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Insider Ownership Of Core Scientific

For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Core Scientific insiders own about US$293m worth of shares (which is 6.0% of the company). I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At Core Scientific Tell Us?

The stark truth for Core Scientific is that there has been more insider selling than insider buying in the last three months. But we take heart from prior transactions. And insider ownership remains quite considerable. So we're happy to look past recent trading. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Core Scientific. While conducting our analysis, we found that Core Scientific has 1 warning sign and it would be unwise to ignore this.

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 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.