Despite the fact that Dominari Holdings Inc.'s (NASDAQ:DOMH) value has dropped 11% in the last week insiders who sold US$1.0m worth of stock in the past 12 months have had less success. Insiders would probably have been better off holding on to their shares given that the average selling price of US$3.94 is still lower than the current share price.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

Dominari Holdings Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the Chief Operating Officer, Christopher Devall, sold US$871k worth of shares at a price of US$4.22 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The good news is that this large sale was at well above current price of US$2.48. So it may not tell us anything about how insiders feel about the current share price. The only individual insider seller over the last year was Christopher Devall.

Happily, we note that in the last year insiders paid US$186k for 48.00k shares. But insiders sold 265.00k shares worth US$1.0m. Christopher Devall divested 265.00k shares over the last 12 months at an average price of US$3.94. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Insider Ownership Of Dominari Holdings

Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Dominari Holdings insiders own 63% of the company, currently worth about US$38m based on the recent share price. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At Dominari Holdings Tell Us?

The fact that there have been no Dominari Holdings insider transactions recently certainly doesn't bother us. It's heartening that insiders own plenty of stock, but we'd like to see more insider buying, since the last year of Dominari Holdings insider transactions don't fill us with confidence. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Dominari Holdings.

Of course Dominari Holdings may not be the best stock to buy. So you may wish to see this free collection of high quality 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.