Don't Ignore The Fact That This Insider Just Sold Some Shares In ONE Gas, Inc. (NYSE:OGS)

By
Simply Wall St
Published
March 16, 2022
NYSE:OGS
Source: Shutterstock

Investors may wish to note that the Independent Director of ONE Gas, Inc., Michael Hutchinson, recently netted US$65k from selling stock, receiving an average price of US$86.12. On the bright side, that's just a small sale and only reduced their holding by 5.5%.

View our latest analysis for ONE Gas

ONE Gas Insider Transactions Over The Last Year

In fact, the recent sale by Michael Hutchinson was the biggest sale of ONE Gas shares made by an insider individual in the last twelve months, according to our records. So we know that an insider sold shares at around the present share price of US$85.10. While insider selling is a negative, to us, it is more negative if the shares are sold 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).

ONE Gas insiders didn't buy any shares over 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!

insider-trading-volume
NYSE:OGS Insider Trading Volume March 16th 2022

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).

Insider Ownership of ONE Gas

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. ONE Gas insiders own about US$85m worth of shares. That equates to 1.9% 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 ONE Gas Insider Transactions Indicate?

An insider sold stock recently, but they haven't been buying. Looking to the last twelve months, our data doesn't show any insider buying. But since ONE Gas is profitable and growing, we're not too worried by this. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. So we'd only buy after careful consideration. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. Be aware that ONE Gas is showing 4 warning signs in our investment analysis, and 2 of those are concerning...

But note: ONE Gas may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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, but not derivative transactions.

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