share_log

Acushnet Holdings Corp. (NYSE:GOLF) Insiders Who Sold US$639k Worth of Stock Earlier This Year Are Probably Glad They Did so as Market Cap Slides to US$3.4b

Simply Wall St ·  Sep 6, 2022 11:00

By selling US$639k worth of Acushnet Holdings Corp. (NYSE:GOLF) stock at an average sell price of US$57.08 over the last year, insiders seemed to have made the most of their holdings. After the stock price dropped 3.9% last week, the company's market value declined by US$137m, but insiders were able to mitigate their losses.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

View our latest analysis for Acushnet Holdings

The Last 12 Months Of Insider Transactions At Acushnet Holdings

The President of FootJoy, Christopher Lindner, made the biggest insider sale in the last 12 months. That single transaction was for US$639k worth of shares at a price of US$57.08 each. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. It's of some comfort that this sale was conducted at a price well above the current share price, which is US$47.65. So it may not tell us anything about how insiders feel about the current share price. Christopher Lindner was the only individual insider to sell over 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!

insider-trading-volumeNYSE:GOLF Insider Trading Volume September 6th 2022

For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. It appears that Acushnet Holdings insiders own 2.9% of the company, worth about US$99m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About Acushnet Holdings Insiders?

There haven't been any insider transactions in the last three months -- that doesn't mean much. Our analysis of Acushnet Holdings insider transactions leaves us cautious. But it's good to see that insiders own shares in the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Acushnet Holdings. Every company has risks, and we've spotted 1 warning sign for Acushnet Holdings you should know about.

Of course Acushnet Holdings may not be the best stock to buy. So you may wish to see this free collection of high quality 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.

Disclaimer: This content is for informational and educational purposes only and does not constitute a recommendation or endorsement of any specific investment or investment strategy. Read more
    Write a comment