Anyone interested in A10 Networks, Inc. (NYSE:ATEN) should probably be aware that the Board Chair, Dhrupad Trivedi, recently divested US$200k worth of shares in the company, at an average price of US$12.71 each. However, the silver lining is that the sale only reduced their total holding by 4.6%, so we're hesitant to read anything much into it, on its own.
View our latest analysis for A10 Networks
The Last 12 Months Of Insider Transactions At A10 Networks
In fact, the recent sale by Board Chair Dhrupad Trivedi was not their only sale of A10 Networks shares this year. Earlier in the year, they fetched US$13.87 per share in a -US$657k sale. That means that an insider was selling shares at around the current price of US$13.02. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. 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.
A10 Networks 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!
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 A10 Networks Boast High Insider Ownership?
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Our data indicates that A10 Networks insiders own about US$8.1m worth of shares (which is 0.8% of the company). We do generally prefer see higher levels of insider ownership.
What Might The Insider Transactions At A10 Networks Tell Us?
Insiders sold A10 Networks shares recently, but they didn't buy any. Looking to the last twelve months, our data doesn't show any insider buying. On the plus side, A10 Networks makes money, and is growing profits. When you combine this with the relatively low insider ownership, we are very cautious about the stock. So we'd only buy after very careful consideration. 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 2 warning signs for A10 Networks and we suggest you have a look.
Of course A10 Networks 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 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.