Anyone interested in FLIR Systems, Inc. (NASDAQ:FLIR) should probably be aware that the Principal Accounting Officer, Brian Harding, recently divested US$190k worth of shares in the company, at an average price of US$52.48 each. The eyebrow raising move amounted to a reduction of 29.0% in their holding.
The Last 12 Months Of Insider Transactions At FLIR Systems
In the last twelve months, the biggest single sale by an insider was when the Chairman, Earl Lewis, sold US$1.2m worth of shares at a price of US$51.33 per share. That means that even when the share price was below the current price of US$53.17, an insider wanted to cash in some shares. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. It is worth noting that this sale was only 304% of Earl Lewis's holding.
We note that in the last year insiders divested 79808 shares for a total of US$4.1m. In the last year FLIR Systems insiders didn't buy any company stock. The chart below shows insider transactions (by individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
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 FLIR Systems
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 0.8% of FLIR Systems shares, worth about US$59m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
What Might The Insider Transactions At FLIR Systems Tell Us?
Insiders sold stock recently, but they haven't been buying. Looking to the last twelve months, our data doesn't show any insider buying. But since FLIR Systems is profitable and growing, we're not too worried by this. Insiders own shares, but we're still pretty cautious, given the history of sales. We're in no rush to buy! If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.
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, but not derivative transactions.
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