Stock Analysis

Have Harmonic Inc. (NASDAQ:HLIT) Insiders Been Selling Their Stock?

  •  Updated
NasdaqGS:HLIT
Source: Shutterstock

Investors may wish to note that the Senior Vice President of Global Sales & Video Services of Harmonic Inc., Ian Graham, recently netted US$60k from selling stock, receiving an average price of US$7.66. It wasn't a huge sale, but it did reduce their holding by 11%. This does not instill confidence.

Check out our latest analysis for Harmonic

The Last 12 Months Of Insider Transactions At Harmonic

The Independent Director David Krall made the biggest insider purchase in the last 12 months. That single transaction was for US$118k worth of shares at a price of US$5.94 each. We do like to see buying, but this purchase was made at well below the current price of US$7.64. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

insider-trading-volume
NasdaqGS:HLIT Insider Trading Volume February 6th 2021

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insider Ownership

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Harmonic insiders own about US$21m worth of shares. That equates to 2.8% of the company. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Do The Harmonic Insider Transactions Indicate?

An insider sold Harmonic shares recently, but they didn't buy any. But we take heart from prior transactions. It's good to see insiders are shareholders. So the recent selling doesn't worry us too much. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For example - Harmonic has 1 warning sign we think you should be aware of.

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.

If you decide to trade Harmonic, use the lowest-cost* platform that is rated #1 Overall by Barron’s, Interactive Brokers. Trade stocks, options, futures, forex, bonds and funds on 135 markets, all from a single integrated account. Promoted


What are the risks and opportunities for Harmonic?

Harmonic Inc., together with its subsidiaries, provide video delivery software, products, system solutions, and services worldwide.

View Full Analysis

Rewards

  • Earnings are forecast to grow 56.6% per year

  • Earnings grew by 112.6% over the past year

Risks

  • Shareholders have been diluted in the past year

  • Significant insider selling over the past 3 months

View all Risks and Rewards

Share Price

Market Cap

1Y Return

View Company Report