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Have Harmonic Inc. (NASDAQ:HLIT) Insiders Been Selling Their Stock?
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!
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.
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What are the risks and opportunities for Harmonic?
Harmonic Inc., together with its subsidiaries, provide video delivery software, products, system solutions, and services worldwide.
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
Further research on
Harmonic
This article by Simply Wall St is general in nature. 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.
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About NasdaqGS:HLIT
Harmonic
Harmonic Inc., together with its subsidiaries, provide video delivery software, products, system solutions, and services worldwide.
Solid track record with excellent balance sheet.
