Don't Ignore The Insider Selling In FRP Holdings
FRP Holdings Inc FRPH | 22.06 | +0.27% |
We'd be surprised if FRP Holdings, Inc. (NASDAQ:FRPH) shareholders haven't noticed that the President & COO, David deVilliers, recently sold US$151k worth of stock at US$58.11 per share. On the bright side, that sale was only 8.6% of their holding, so we doubt it's very meaningful, on its own.
Check out our latest analysis for FRP Holdings
FRP Holdings Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when Executive Chairman & CEO John Baker bought US$241k worth of shares at a price of US$53.21 per share. So it's clear an insider wanted to buy, at around the current price, which is US$57.42. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. The good news for FRP Holdings share holders is that an insider was buying at near the current price. John Baker was the only individual insider to buy shares in the last twelve months.
In total, FRP Holdings insiders sold more than they bought over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
Does FRP Holdings 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. FRP Holdings insiders own about US$167m worth of shares (which is 30% of the company). I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
So What Do The FRP Holdings Insider Transactions Indicate?
An insider hasn't bought FRP Holdings stock in the last three months, but there was some selling. And our longer term analysis of insider transactions didn't bring confidence, either. But it is good to see that FRP Holdings is growing earnings. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. When we did our research, we found 2 warning signs for FRP Holdings (1 is a bit unpleasant!) that we believe deserve your full attention.
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.
