Community Health Systems Insider Ups Holding By 16% During Year
Looking at Community Health Systems, Inc.'s (NYSE:CYH ) insider transactions over the last year, we can see that insiders were net buyers. That is, there were more number of shares purchased by insiders than there were sold.
Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.
Check out our latest analysis for Community Health Systems
The Last 12 Months Of Insider Transactions At Community Health Systems
The Independent Non-Executive Chairman Wayne Smith made the biggest insider purchase in the last 12 months. That single transaction was for US$2.1m worth of shares at a price of US$2.11 each. We do like to see buying, but this purchase was made at well below the current price of US$2.85. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
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!
Community Health Systems is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership Of Community Health Systems
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. It appears that Community Health Systems insiders own 8.9% of the company, worth about US$32m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
So What Does This Data Suggest About Community Health Systems Insiders?
The fact that there have been no Community Health Systems insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. Insiders do have a stake in Community Health Systems and their transactions don't cause us concern. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Community Health Systems. For instance, we've identified 2 warning signs for Community Health Systems (1 shouldn't be ignored) you should be aware of.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.
