Some BlackRock, Inc. (NYSE:BLK) shareholders may be a little concerned to see that the President & Member of Board of Directors, Robert Kapito, recently sold a substantial US$9.2m worth of stock at a price of US$1,057 per share. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 4.2%.

BlackRock Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the Founder, Laurence Fink, for US$30m worth of shares, at about US$1,130 per share. So what is clear is that an insider saw fit to sell at around the current price of US$1,039. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.

In the last year BlackRock 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!

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

Insider Ownership Of BlackRock

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. BlackRock insiders own 1.8% of the company, currently worth about US$3.1b 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.

So What Does This Data Suggest About BlackRock Insiders?

Insiders haven't bought BlackRock stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. It is good to see high insider ownership, but the insider selling leaves us cautious. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing.

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.