Some Stewart Information Services Corporation (NYSE:STC) shareholders may be a little concerned to see that the CFO & Treasurer, David Hisey, recently sold a substantial US$783k worth of stock at a price of US$71.28 per share. That sale reduced their total holding by 15% which is hardly insignificant, but far from the worst we've seen.

The Last 12 Months Of Insider Transactions At Stewart Information Services

Notably, that recent sale by David Hisey is the biggest insider sale of Stewart Information Services shares that we've seen in the last year. That means that an insider was selling shares at around the current price of US$71.30. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).

Over the last year we saw more insider selling of Stewart Information Services shares, than buying. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

I will like Stewart Information Services better if I see some big insider buys.

Insider Ownership

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. Stewart Information Services insiders own about US$45m worth of shares. That equates to 2.1% 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 Do The Stewart Information Services Insider Transactions Indicate?

The insider sales have outweighed the insider buying, at Stewart Information Services, in the last three months. Despite some insider buying, the longer term picture doesn't make us feel much more positive. But it is good to see that Stewart Information Services is growing earnings. Insiders own shares, but we're still pretty cautious, given the history of sales. We'd practice some caution before buying! While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision.

Of course Stewart Information Services 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.