PENN Entertainment, Inc. (NASDAQ:PENN) shareholders (or potential shareholders) will be happy to see that the Independent Chairman, David Handler, recently bought a whopping US$624k worth of stock, at a price of US$15.61. Aside from being a solid chunk in its own right, the deft move also saw their holding increase by some 18%.

View our latest analysis for PENN Entertainment

The Last 12 Months Of Insider Transactions At PENN Entertainment

Over the last year, we can see that the biggest insider sale was by the Independent Lead Director, Barbara Z. Kohn, for US$810k worth of shares, at about US$26.62 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is US$16.24. So it is hard to draw any strong conclusion from it. Barbara Z. Kohn was the only individual insider to sell shares in the last twelve months.

Over the last year, we can see that insiders have bought 91.72k shares worth US$1.7m. But they sold 30.45k shares for US$810k. In the last twelve months there was more buying than selling by PENN Entertainment insiders. Their average price was about US$18.29. I'd consider this a positive as it suggests insiders see value at around the current price. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Insider Ownership Of PENN Entertainment

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. PENN Entertainment insiders own about US$24m worth of shares. That equates to 1.0% of the company. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Does This Data Suggest About PENN Entertainment Insiders?

It is good to see recent purchasing. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. When combined with notable insider ownership, these factors suggest PENN Entertainment insiders are well aligned, and that they may think the share price is too low. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for PENN Entertainment.

But note: PENN Entertainment 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.