We wouldn't blame Madison Square Garden Entertainment Corp. (NYSE:MSGE) shareholders if they were a little worried about the fact that James Dolan, the Executive Chairman & CEO recently netted about US$3.8m selling shares at an average price of US$38.20. That sale reduced their total holding by 31% which is hardly insignificant, but far from the worst we've seen.
Madison Square Garden Entertainment Insider Transactions Over The Last Year
Over the last year, we can see that the biggest insider purchase was by Director Thomas Dolan for US$10.0m worth of shares, at about US$31.00 per share. We do like to see buying, but this purchase was made at well below the current price of US$37.97. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.
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!
Madison Square Garden Entertainment is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
Does Madison Square Garden Entertainment 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. A high insider ownership often makes company leadership more mindful of shareholder interests. Madison Square Garden Entertainment insiders own about US$48m worth of shares. That equates to 2.6% of the company. 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 Do The Madison Square Garden Entertainment Insider Transactions Indicate?
Insiders haven't bought Madison Square Garden Entertainment stock in the last three months, but there was some selling. In contrast, they appear keener if you look at the last twelve months. We like that insiders own a fair amount of the company. So we're happy enough to look past some selling. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. When we did our research, we found 2 warning signs for Madison Square Garden Entertainment (1 is potentially serious!) that we believe deserve your full attention.
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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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.