Have Atlanticus Holdings Insiders Been Selling Stock?
We'd be surprised if Atlanticus Holdings Corporation (NASDAQ:ATLC) shareholders haven't noticed that the Independent Director, Deal Hudson, recently sold US$125k worth of stock at US$62.39 per share. On the bright side, that sale was only 3.2% of their holding, so we doubt it's very meaningful, on its own.
Atlanticus Holdings Insider Transactions Over The Last Year
The Chief Accounting Officer, Mitchell Saunders, made the biggest insider sale in the last 12 months. That single transaction was for US$889k worth of shares at a price of US$55.55 each. That means that even when the share price was below the current price of US$61.35, an insider wanted to cash in some shares. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. This single sale was just 24% of Mitchell Saunders's stake.
Insiders in Atlanticus Holdings didn't buy any shares in the last year. 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!
Check out our latest analysis for Atlanticus Holdings
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Insider Ownership Of Atlanticus Holdings
For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It's great to see that Atlanticus Holdings insiders own 63% of the company, worth about US$588m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
What Might The Insider Transactions At Atlanticus Holdings Tell Us?
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 it is good to see that Atlanticus Holdings is growing earnings. It is good to see high insider ownership, but the insider selling leaves us cautious. While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. For instance, we've identified 2 warning signs for Atlanticus Holdings (1 is significant) you should be aware of.
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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.