We'd be surprised if Horace Mann Educators Corporation (NYSE:HMN) shareholders haven't noticed that the President, Marita Zuraitis, recently sold US$327k worth of stock at US$46.16 per share. On the bright side, that sale was only 6.6% of their holding, so we doubt it's very meaningful, on its own.

Horace Mann Educators Insider Transactions Over The Last Year

Notably, that recent sale by Marita Zuraitis is the biggest insider sale of Horace Mann Educators shares that we've seen in the last year. So what is clear is that an insider saw fit to sell at around the current price of US$44.42. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

In the last twelve months insiders purchased 7.18k shares for US$311k. On the other hand they divested 19.90k shares, for US$908k. Over the last year we saw more insider selling of Horace Mann Educators shares, than buying. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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Insider Ownership Of Horace Mann Educators

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It appears that Horace Mann Educators insiders own 1.1% of the company, worth about US$20m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The Horace Mann Educators Insider Transactions Indicate?

The stark truth for Horace Mann Educators is that there has been more insider selling than insider buying in the last three months. Zooming out, the longer term picture doesn't give us much comfort. On the plus side, Horace Mann Educators makes money, and is growing profits. Insiders own shares, but we're still pretty cautious, given the history of sales. We're in no rush to buy! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. In terms of investment risks, we've identified 1 warning sign with Horace Mann Educators and understanding this should be part of your investment process.

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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 of direct interests only, but not derivative transactions or indirect interests.

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.