Yahoo Finance Vice President of Marketing & Business Development Is The Vice President of Marketing & Business Development of Ambarella, Inc. (NASDAQ:AMBA) And They Just Sold 34% Of Their Shares
We'd be surprised if Ambarella, Inc. (NASDAQ:AMBA) shareholders haven't noticed that the Vice President of Marketing & Business Development, Christopher Day, recently sold US$156k worth of stock at US$62.82 per share. That sale was 34% of their holding, so it does make us raise an eyebrow.
View our latest analysis for Ambarella
The Last 12 Months Of Insider Transactions At Ambarella
The Director, Chenming Hu, made the biggest insider sale in the last 12 months. That single transaction was for US$630k worth of shares at a price of US$63.00 each. So we know that an insider sold shares at around the present share price of US$59.53. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. 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$2.5m for 47516 shares sold. Insiders in Ambarella didn't buy any shares in the last year. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.
Does Ambarella Boast High Insider Ownership?
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. It appears that Ambarella insiders own 5.1% of the company, worth about US$99m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
What Might The Insider Transactions At Ambarella Tell Us?
Insiders sold Ambarella shares recently, but they didn't buy any. And even if we look to the last year, we didn't see any purchases. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd think twice before buying! Of course, the future is what matters most. So if you are interested in Ambarella, you should check out this free report on analyst forecasts for the company.
Of course Ambarella 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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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.
