Despite the fact that Advanced Micro Devices, Inc.’s (NASDAQ:AMD) stock rose 5.1% last week, insiders who have sold US$4.1 million worth of stock over the past 12 months could be at an advantage. . Selling at an average price of US$102, higher than the current price, may have been the smartest decision for these insiders.
We believe that shareholders should not simply follow insider trading, but logically they should pay attention to whether insiders are buying or selling shares.
Insider trading at Advanced Micro Devices in the last 12 months
The largest single insider sale in the past 12 months was when insider Forrest Norrod sold US$4.1 million worth of shares at US$102 per share. We usually don’t want to see insider sales, but the lower the sale price, the more interest we have. It is somewhat consoling that this sale came at a price well above his current stock price of $76.40. As such, it may not shed much light on insider trust at its current level.Forrest Norrod was the only individual insider to sell shares in the last 12 months.
The chart below shows insider trading (by company and individual) over the past year. Clicking on the chart will show you all individual deals, such as stock, individual, and date.
If you like buying stocks that insiders are buying instead of selling, you might like this one freedom company list. (Hint: Insiders are buying).
Do advanced micro devices boast high insider ownership?
Looking at a company’s total insider shareholdings can help give an idea of whether they are aligned well with public shareholders. High insider ownership often leads company management to pay more attention to the interests of shareholders. It’s great that an Advanced Micro Devices insider owns his 0.5% of the company, worth about $629 million. I love seeing this level of insider ownership. Because it increases the likelihood that management is thinking about the best interests of shareholders.
So what does this data tell us about advanced micro device insiders?
It doesn’t make much sense that insiders didn’t trade Advanced Micro Devices stock last quarter. It’s reassuring that the insider has ample inventory, but we’re hoping for more insider purchases, given his lack of confidence in his Advanced Micro Devices insider trading last year.So while these insider trading can help make the stock thesis, it’s also worth knowing the risks facing this company. Example – Advanced Micro Devices is two warning signs I think you should know.
Don’t miss this if you want to check out another company (one with potentially better financial standings) freedom An interesting list of companies with high return on equity and low debt.
For the purposes of this article, an insider is an individual who reports a transaction to the relevant regulatory body. Currently, we consider open market transactions and private disposals, but not derivative transactions.
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This article by Simply Wall St is general in nature. We provide comments based on historical data and analyst projections using only unbiased methodologies and our articles are not intended as financial advice. It is not a recommendation to buy or sell stocks and does not take into account your objectives or financial situation. We aim to deliver long-term focused analysis based on fundamental data. Please note that our analysis may not take into account the latest price-sensitive company announcements or qualitative materials. Is not …
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