Yahoo Finance With Citigroup Inc.'s (NYSE:C)) price down 6.5% this week, insiders might find some solace having sold US$2.6m worth of shares earlier this year.
Over the past year, insiders sold US$2.6m worth of Citigroup Inc. (NYSE:C) stock at an average price of US$68.62 per share allowing them to get the most out of their money. After the stock price dropped 6.5% last week, the company's market value declined by US$6.0b, but insiders were able to mitigate their losses.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
See our latest analysis for Citigroup
The Last 12 Months Of Insider Transactions At Citigroup
The insider, Sara Wechter, made the biggest insider sale in the last 12 months. That single transaction was for US$1.0m worth of shares at a price of US$68.56 each. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. The good news is that this large sale was at well above current price of US$44.69. So it may not tell us anything about how insiders feel about the current share price.
In the last year Citigroup insiders didn't buy any company stock. The chart below shows insider transactions (by companies and 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!
For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
Insider Ownership Of Citigroup
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Insiders own 0.1% of Citigroup shares, worth about US$91m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
What Might The Insider Transactions At Citigroup Tell Us?
The fact that there have been no Citigroup insider transactions recently certainly doesn't bother us. We don't take much encouragement from the transactions by Citigroup insiders. The modest level of insider ownership is, at least, some comfort. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Citigroup.
Of course Citigroup 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.
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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.
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