We'd be surprised if Brinker International, Inc. (NYSE:EAT) shareholders haven't noticed that the Executive VP & Chief People and Administrative Officer, Richard Badgley, recently sold US$297k worth of stock at US$29.66 per share. The eyebrow raising move amounted to a reduction of 21% in their holding.

See our latest analysis for Brinker International

The Last 12 Months Of Insider Transactions At Brinker International

Notably, that recent sale by Richard Badgley is the biggest insider sale of Brinker International shares that we've seen in the last year. That means that an insider was selling shares at below the current price (US$29.69). As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. It is worth noting that this sale was only 21% of Richard Badgley's holding.

Over the last year, we can see that insiders have bought 1.78k shares worth US$58k. But insiders sold 19.00k shares worth US$671k. In total, Brinker International insiders sold more than they bought over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart 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).

Does Brinker International Boast High Insider Ownership?

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. Insiders own 2.0% of Brinker International shares, worth about US$26m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Does This Data Suggest About Brinker International Insiders?

An insider sold stock recently, but they haven't been buying. Despite some insider buying, the longer term picture doesn't make us feel much more positive. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Brinker International. You'd be interested to know, that we found 2 warning signs for Brinker International and we suggest you have a look.

Of course Brinker International 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.

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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.