Some ServiceTitan, Inc. (NASDAQ:TTAN) shareholders may be a little concerned to see that the Chief Financial Officer, Dave Sherry, recently sold a substantial US$1.3m worth of stock at a price of US$57.07 per share. That's a big disposal, and it decreased their holding size by 24%, which is notable but not too bad.
The Last 12 Months Of Insider Transactions At ServiceTitan
In fact, the recent sale by Chief Financial Officer Dave Sherry was not their only sale of ServiceTitan shares this year. Earlier in the year, they fetched US$66.19 per share in a -US$1.3m sale. So what is clear is that an insider saw fit to sell at around the current price of US$61.56. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.
Insiders in ServiceTitan didn't buy any shares in the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
See our latest analysis for ServiceTitan
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Insider Ownership
For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It's great to see that ServiceTitan insiders own 21% of the company, worth about US$1.1b. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
What Might The Insider Transactions At ServiceTitan Tell Us?
Insiders haven't bought ServiceTitan stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. 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. Every company has risks, and we've spotted 3 warning signs for ServiceTitan you should know about.
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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.