Don't Ignore The Insider Selling In SentinelOne

Some SentinelOne, Inc. (NYSE:S) shareholders may be a little concerned to see that the Co-Founder, Tomer Weingarten, recently sold a substantial US$707k worth of stock at a price of US$18.28 per share. That sale reduced their total holding by 23% which is hardly insignificant, but far from the worst we've seen.

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SentinelOne Insider Transactions Over The Last Year

In fact, the recent sale by Co-Founder Tomer Weingarten was not their only sale of SentinelOne shares this year. Earlier in the year, they fetched US$25.04 per share in a -US$967k sale. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The silver lining is that this sell-down took place above the latest price (US$17.96). So it may not tell us anything about how insiders feel about the current share price.

Insiders in SentinelOne 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. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

See our latest analysis for SentinelOne

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Does SentinelOne Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. SentinelOne insiders own about US$161m worth of shares (which is 2.7% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Do The SentinelOne Insider Transactions Indicate?

Insiders sold SentinelOne shares recently, but they didn't buy any. And even if we look at the last year, we didn't see any purchases. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. To assist with this, we've discovered 2 warning signs that you should run your eye over to get a better picture of SentinelOne.

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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.