Have Insiders Sold Matterport, Inc. (NASDAQ:MTTR) Shares Recently?

We wouldn't blame Matterport, Inc. (NASDAQ:MTTR) shareholders if they were a little worried about the fact that Raymond Pittman, the Chairman & CEO recently netted about US$2.1m selling shares at an average price of US$4.27. That sale reduced their total holding by 23% which is hardly insignificant, but far from the worst we've seen.

Check out our latest analysis for Matterport

Matterport Insider Transactions Over The Last Year

Notably, that recent sale by Raymond Pittman is the biggest insider sale of Matterport shares that we've seen in the last year. So it's clear an insider wanted to take some cash off the table, even below the current price of US$4.56. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. 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. It is worth noting that this sale was only 23% of Raymond Pittman's holding.

In the last twelve months insiders purchased 60.00k shares for US$400k. But they sold 1.26m shares for US$5.6m. All up, insiders sold more shares in Matterport than they bought, 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 want to know exactly who sold, for how much, and when, simply click on the graph below!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insider Ownership Of Matterport

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 6.8% of Matterport shares, worth about US$87m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

What Might The Insider Transactions At Matterport Tell Us?

Insiders haven't bought Matterport stock in the last three months, but there was some selling. Despite some insider buying, the longer term picture doesn't make us feel much more positive. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! 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 Matterport is showing 4 warning signs in our investment analysis, and 1 of those is concerning...

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, but not derivative transactions.

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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.