We'd be surprised if Lincoln Electric Holdings, Inc. (NASDAQ:LECO) shareholders haven't noticed that the Executive VP & President of Americans Welding, Michael Whitehead, recently sold US$232k worth of stock at US$275 per share. However, the silver lining is that the sale only reduced their total holding by 8.3%, so we're hesitant to read anything much into it, on its own.

Lincoln Electric Holdings Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the Executive VP, Jennifer Ansberry, for US$727k worth of shares, at about US$242 per share. That means that an insider was selling shares at slightly below the current price (US$275). We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. We note that the biggest single sale was only 14% of Jennifer Ansberry's holding.

In the last year Lincoln Electric Holdings insiders didn't buy any company stock. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

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Insider Ownership Of Lincoln Electric Holdings

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 0.5% of Lincoln Electric Holdings shares, worth about US$79m. 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 Lincoln Electric Holdings Tell Us?

An insider sold Lincoln Electric Holdings shares recently, but they didn't buy any. And there weren't any purchases to give us comfort, over the last year. But it is good to see that Lincoln Electric Holdings is growing earnings. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. So we'd only buy after careful consideration. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For example - Lincoln Electric Holdings has 1 warning sign we think you should be aware of.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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 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.