Silvaco Group Senior VP & GM of TCAD Division Eric Guichard Sells 30% Of Holding

Anyone interested in Silvaco Group, Inc. (NASDAQ:SVCO) should probably be aware that the Senior VP & GM of TCAD Division, Eric Guichard, recently divested US$180k worth of shares in the company, at an average price of US$7.19 each. That sale was 30% of their holding, so it does make us raise an eyebrow.

Check out our latest analysis for Silvaco Group

The Last 12 Months Of Insider Transactions At Silvaco Group

Notably, that recent sale by Eric Guichard is the biggest insider sale of Silvaco Group 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$7.39. 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 30% of Eric Guichard's stake.

You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

If you are like me, then you will not want to miss this free list of small cap stocks that are not only being bought by insiders but also have attractive valuations.

Insider Ownership Of Silvaco Group

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Silvaco Group insiders own about US$79m worth of shares. That equates to 37% of the company. 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 Silvaco Group Tell Us?

An insider sold Silvaco Group shares recently, but they didn't buy any. And there weren't any purchases to give us comfort, over the last year. Insiders own shares, but we're still pretty cautious, given the history of sales. So we'd only buy after careful consideration. 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. At Simply Wall St, we found 2 warning signs for Silvaco Group that deserve your attention before buying any shares.

Of course Silvaco Group may not be the best stock to buy. So you may wish to see this free collection of high quality 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 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.