Non-Executive Director Of Deneb Investments Sold 99% Of Their Shares

Anyone interested in Deneb Investments Limited (JSE:DNB) should probably be aware that the Non-Executive Director, David Duncan, recently divested R3.0m worth of shares in the company, at an average price of R2.50 each. Equally important, that sale actually reduced their holding by a full 99% which hardly makes us feel bullish about the stock.

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The Last 12 Months Of Insider Transactions At Deneb Investments

In fact, the recent sale by David Duncan was the biggest sale of Deneb Investments shares made by an insider individual in the last twelve months, according to our records. So what is clear is that an insider saw fit to sell at around the current price of R2.50. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

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!

See our latest analysis for Deneb Investments

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

Insider Ownership

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. Our data suggests Deneb Investments insiders own 2.6% of the company, worth about R28m. I generally like to see higher levels of ownership.

So What Does This Data Suggest About Deneb Investments Insiders?

An insider sold Deneb Investments shares recently, but they didn't buy any. Looking to the last twelve months, our data doesn't show any insider buying. But since Deneb Investments 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. We'd practice some caution before buying! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Case in point: We've spotted 4 warning signs for Deneb Investments 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 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.