Have Insiders Sold Manhattan Associates, Inc. (NASDAQ:MANH) Shares Recently?

We wouldn't blame Manhattan Associates, Inc. (NASDAQ:MANH) shareholders if they were a little worried about the fact that Deepak Raghavan, the Co-Founder & Independent Director recently netted about US$913k selling shares at an average price of US$129. That's a big disposal, and it decreased their holding size by 18%, which is notable but not too bad.

See our latest analysis for Manhattan Associates

Manhattan Associates Insider Transactions Over The Last Year

The President, Eddie Capel, made the biggest insider sale in the last 12 months. That single transaction was for US$3.6m worth of shares at a price of US$103 each. That means that an insider was selling shares at slightly below the current price (US$139). As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. This single sale was just 34% of Eddie Capel's stake.

Manhattan Associates insiders didn't buy any shares over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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).

Insider Ownership of Manhattan Associates

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. Manhattan Associates insiders own about US$74m worth of shares. That equates to 0.9% of the company. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Does This Data Suggest About Manhattan Associates Insiders?

Insiders sold stock recently, but they haven't been buying. Looking to the last twelve months, our data doesn't show any insider buying. On the plus side, Manhattan Associates makes money, and is growing profits. Insiders own shares, but we're still pretty cautious, given the history of sales. We're in no rush to buy! 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. Case in point: We've spotted 3 warning signs for Manhattan Associates you should be aware of, and 1 of them is concerning.

But note: Manhattan Associates 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, but not derivative transactions.

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This article by Simply Wall St is general in nature. 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.
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