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Have Arch Capital Group Insiders Been Selling Stock?

Simply Wall St ·  Nov 10, 2023 05:15

Some Arch Capital Group Ltd. (NASDAQ:ACGL) shareholders may be a little concerned to see that the CEO & Director, Marc Grandisson, recently sold a substantial US$30m worth of stock at a price of US$85.44 per share. That's a big disposal, and it decreased their holding size by 15%, which is notable but not too bad.

View our latest analysis for Arch Capital Group

The Last 12 Months Of Insider Transactions At Arch Capital Group

Notably, that recent sale by Marc Grandisson is the biggest insider sale of Arch Capital Group shares that we've seen in the last year. So what is clear is that an insider saw fit to sell at around the current price of US$84.67. 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.

Arch Capital Group insiders didn't buy any shares over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

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NasdaqGS:ACGL Insider Trading Volume November 10th 2023

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insider Ownership Of Arch Capital Group

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. It's great to see that Arch Capital Group insiders own 2.8% of the company, worth about US$873m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Do The Arch Capital Group Insider Transactions Indicate?

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 Arch Capital Group is growing earnings. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. 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. You'd be interested to know, that we found 1 warning sign for Arch Capital Group and we suggest you have a look.

But note: Arch Capital Group may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.

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.

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