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Have Casella Waste Systems, Inc. (NASDAQ:CWST) Insiders Been Selling Their Stock?

Simply Wall St

We'd be surprised if Casella Waste Systems, Inc. (NASDAQ:CWST) shareholders haven't noticed that the Independent Director, James Callahan, recently sold US$420k worth of stock at US$42.01 per share. On the bright side, that sale was only 9.5% of their holding, so we doubt it's very meaningful, on its own.

See our latest analysis for Casella Waste Systems

Casella Waste Systems Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the Chairman, John Casella, sold US$4.4m worth of shares at a price of US$44.70 per share. That means that an insider was selling shares at around the current price of US$42.21. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.

In the last twelve months insiders netted US$26m for 644856 shares sold. Insiders in Casella Waste Systems didn't buy any shares in the last year. You can see the insider transactions (by individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

NasdaqGS:CWST Recent Insider Trading, November 9th 2019

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insider Ownership of Casella Waste Systems

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. Casella Waste Systems insiders own about US$114m worth of shares (which is 5.6% of the company). Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Do The Casella Waste Systems Insider Transactions Indicate?

Insiders haven't bought Casella Waste Systems stock in the last three months, but there was some selling. And even if we look to the last year, we didn't see any purchases. It is good to see high insider ownership, but the insider selling leaves us cautious. Of course, the future is what matters most. So if you are interested in Casella Waste Systems, you should check out this free report on analyst forecasts for the company.

But note: Casella Waste Systems 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, but not derivative transactions.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.