Don't Ignore The Insider Selling In A10 Networks

Anyone interested in A10 Networks, Inc. (NYSE:ATEN) should probably be aware that the Board Chair, Dhrupad Trivedi, recently divested US$200k worth of shares in the company, at an average price of US$12.71 each. On the bright side, that sale was only 4.6% of their holding, so we doubt it's very meaningful, on its own.

View our latest analysis for A10 Networks

A10 Networks Insider Transactions Over The Last Year

In fact, the recent sale by Board Chair Dhrupad Trivedi was not their only sale of A10 Networks shares this year. They previously made an even bigger sale of -US$657k worth of shares at a price of US$13.87 per share. So we know that an insider sold shares at around the present share price of US$12.74. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).

Insiders in A10 Networks didn't buy any shares in the last year. 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!

I will like A10 Networks better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

Insider Ownership Of A10 Networks

Many investors like to check how much of a company is owned by 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. From our data, it seems that A10 Networks insiders own 0.8% of the company, worth about US$7.7m. Whilst better than nothing, we're not overly impressed by these holdings.

So What Do The A10 Networks Insider Transactions Indicate?

Insiders haven't bought A10 Networks stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. But it is good to see that A10 Networks is growing earnings. When you consider that most companies have higher levels of insider ownership, we're a little wary. So we're not rushing to buy, to say the least. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing A10 Networks. At Simply Wall St, we found 2 warning signs for A10 Networks that deserve your attention before buying any shares.

Of course A10 Networks 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.