Have Atlassian Insiders Been Selling Stock?

We wouldn't blame Atlassian Corporation (NASDAQ:TEAM) shareholders if they were a little worried about the fact that Anutthara Bharadwaj, the President recently netted about US$1.7m selling shares at an average price of US$226. However, that sale only accounted for 3.8% of their holding, so arguably it doesn't say much about their conviction.

We've discovered 1 warning sign about Atlassian. View them for free.

Atlassian Insider Transactions Over The Last Year

Notably, that recent sale by President Anutthara Bharadwaj was not the only time they sold Atlassian shares this year. Earlier in the year, they fetched US$256 per share in a -US$1.9m sale. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is US$221. So it may not shed much light on insider confidence at current levels.

Insiders in Atlassian didn't buy any shares in the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

Check out our latest analysis for Atlassian

I will like Atlassian better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

Insider Ownership

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Atlassian insiders own 38% of the company, currently worth about US$22b based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

What Might The Insider Transactions At Atlassian Tell Us?

Insiders sold stock recently, but they haven't been buying. And there weren't any purchases to give us comfort, over the last year. It is good to see high insider ownership, but the insider selling leaves us cautious. While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. While conducting our analysis, we found that Atlassian 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.