We'd be surprised if Century Aluminum Company (NASDAQ:CENX) shareholders haven't noticed that the COO, Executive VP & General Counsel, Jesse Gary, recently sold US$127k worth of stock at US$8.36 per share. That sale was 14% of their holding, so it does make us raise an eyebrow.
The Last 12 Months Of Insider Transactions At Century Aluminum
The President, Michael Bless, made the biggest insider sale in the last 12 months. That single transaction was for US$224k worth of shares at a price of US$8.96 each. So what is clear is that an insider saw fit to sell at around the current price of US$8.28. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).
All up, insiders sold more shares in Century Aluminum than they bought, over the last year. You can see the insider transactions (by 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!
If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. Our data indicates that Century Aluminum insiders own about US$7.6m worth of shares (which is 1.0% of the company). We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. We do generally prefer see higher levels of insider ownership.
So What Does This Data Suggest About Century Aluminum Insiders?
An insider sold Century Aluminum shares recently, but they didn't buy any. And our longer term analysis of insider transactions didn't bring confidence, either. When you combine this with the relatively low insider ownership, we are very cautious about the stock. So we're not rushing to buy, to say the least. Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for Century Aluminum.
Of course Century Aluminum 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, 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 firstname.lastname@example.org. 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.