We note that the Maui Land & Pineapple Company, Inc. (NYSE:MLP) Vice President, Paulus Subrata, recently sold US$64k worth of stock for US$10.60 per share. It wasn’t a huge sale, but it did reduce their holding by 33%. This does not instill confidence.
See our latest analysis for Maui Land & Pineapple Company
The Last 12 Months Of Insider Transactions At Maui Land & Pineapple Company
In fact, the recent sale by Vice President Paulus Subrata was not their only sale of Maui Land & Pineapple Company shares this year. Earlier in the year, they fetched US$10.90 per share in a -US$76k sale. So what is clear is that an insider saw fit to sell at around the current price of US$10.65. 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).
Paulus Subrata ditched 13.00k shares over the year. The average price per share was US$10.76. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
NYSE:MLP Insider Trading Volume June 5th 2022
If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).
Does Maui Land & Pineapple Company 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. I reckon it’s a good sign if insiders own a significant number of shares in the company. Maui Land & Pineapple Company insiders own about US$135m worth of shares (which is 65% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Does This Data Suggest About Maui Land & Pineapple Company Insiders?
An insider sold stock recently, but they haven’t been buying. And there weren’t any purchases to give us comfort, over the last year. The company boasts high insider ownership, but we’re a little hesitant, given the history of share sales. So while it’s helpful to know what insiders are doing in terms of buying or selling, it’s also helpful to know the risks that a particular company is facing. For instance, we’ve identified 2 warning signs for Maui Land & Pineapple Company (1 is a bit unpleasant) 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, 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.