Anyone interested in ArcBest Corporation (NASDAQ:ARCB) should probably be aware that the Independent Director, Janice Stipp, recently divested US$415k worth of shares in the company, at an average price of US$122 each. The eyebrow raising move amounted to a reduction of 17% in their holding.
View our latest analysis for ArcBest
The Last 12 Months Of Insider Transactions At ArcBest
In the last twelve months, the biggest single sale by an insider was when the Chairman, Judy McReynolds, sold US$2.7m worth of shares at a price of US$110 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of US$121. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. This single sale was just 17% of Judy McReynolds's stake.
All up, insiders sold more shares in ArcBest 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!
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Does ArcBest Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that ArcBest insiders own 2.2% of the company, worth about US$62m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
What Might The Insider Transactions At ArcBest Tell Us?
Unfortunately, there has been more insider selling of ArcBest stock, than buying, in the last three months. And our longer term analysis of insider transactions didn't bring confidence, either. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 2 warning signs for ArcBest 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.