Some Albertsons Companies, Inc. (NYSE:ACI) shareholders may be a little concerned to see that the Senior VP & Chief Accounting Officer, Robert Larson, recently sold a substantial US$938k worth of stock at a price of US$26.79 per share. That sale reduced their total holding by 30% which is hardly insignificant, but far from the worst we’ve seen.
Albertsons Companies Insider Transactions Over The Last Year
The Executive VP & Chief Customer and Digital Officer, Christine Rupp, made the biggest insider sale in the last 12 months. That single transaction was for US$1.9m worth of shares at a price of US$27.20 each. So what is clear is that an insider saw fit to sell at around the current price of US$26.92. 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.
Insiders in Albertsons Companies 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. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
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 Albertsons Companies
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Albertsons Companies insiders own about US$208m worth of shares (which is 1.3% of the company). Most would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
So What Do The Albertsons Companies Insider Transactions Indicate?
Insiders sold stock recently, but they haven’t been buying. And there weren’t any purchases to give us comfort, over the last year. On the plus side, Albertsons Companies makes money, and is growing profits. It is good to see high insider ownership, but the insider selling leaves us cautious. While we like knowing 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. In terms of investment risks, we’ve identified 4 warning signs with Albertsons Companies and understanding these should be part of your investment process.
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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