We'd be surprised if V2X, Inc. (NYSE:VVX) shareholders haven't noticed that the Independent Director, Melvin Parker, recently sold US$407k worth of stock at US$81.41 per share. That sale was 20% of their holding, so it does make us raise an eyebrow.

The Last 12 Months Of Insider Transactions At V2X

Notably, that recent sale by Melvin Parker is the biggest insider sale of V2X shares that we've seen in the last year. That means that an insider was selling shares at around the current price of US$81.27. 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.

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!

I will like V2X better if I see some big insider buys.

Does V2X Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. V2X insiders own about US$40m worth of shares. That equates to 1.5% of the company. 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 Does This Data Suggest About V2X Insiders?

An insider hasn't bought V2X stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. But it is good to see that V2X is growing earnings. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! 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, V2X has 2 warning signs (and 1 which shouldn't be ignored) we think you should know about.

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 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.