We wouldn't blame MoneyLion Inc. (NYSE:ML) shareholders if they were a little worried about the fact that Diwakar Choubey, the Co-Founder recently netted about US$575k selling shares at an average price of US$33.76. However, that sale only accounted for 2.7% of their holding, so arguably it doesn't say much about their conviction.
View our latest analysis for MoneyLion
The Last 12 Months Of Insider Transactions At MoneyLion
Notably, that recent sale by Diwakar Choubey is the biggest insider sale of MoneyLion shares that we've seen in the last year. That means that even when the share price was slightly below the current price of US$34.30, an insider wanted to cash in some shares. 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. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. This single sale was just 2.7% of Diwakar Choubey's stake.
In the last twelve months insiders purchased 3.46k shares for US$57k. But they sold 50.55k shares for US$1.5m. Over the last year we saw more insider selling of MoneyLion shares, than buying. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.
Does MoneyLion Boast High Insider Ownership?
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. It appears that MoneyLion insiders own 22% of the company, worth about US$78m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
What Might The Insider Transactions At MoneyLion Tell Us?
Insiders haven't bought MoneyLion stock in the last three months, but there was some selling. And our longer term analysis of insider transactions didn't bring confidence, either. Insiders own shares, but we're still pretty cautious, given the history of sales. We'd practice some caution before buying! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing MoneyLion. Case in point: We've spotted 3 warning signs for MoneyLion you should be aware of, and 1 of them is a bit unpleasant.
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 of direct interests only, but not derivative transactions or indirect interests.
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