We'd be surprised if Community Trust Bancorp, Inc. (NASDAQ:CTBI) shareholders haven't noticed that the Executive Vice President, James Draughn, recently sold US$208k worth of stock at US$41.61 per share. That sale was 28% of their holding, so it does make us raise an eyebrow.

Check out our latest analysis for Community Trust Bancorp

The Last 12 Months Of Insider Transactions At Community Trust Bancorp

Notably, that recent sale by James Draughn is the biggest insider sale of Community Trust Bancorp shares that we've seen in the last year. That means that an insider was selling shares at below the current price (US$41.74). We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. However, while insider selling is sometimes discouraging, it's only a weak signal. We note that the biggest single sale was only 28%of James Draughn's holding.

Over the last year, we can see that insiders have bought 23.99k shares worth US$886k. On the other hand they divested 5.00k shares, for US$208k. In the last twelve months there was more buying than selling by Community Trust Bancorp insiders. 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!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Does Community Trust Bancorp Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 4.0% of Community Trust Bancorp shares, worth about US$30m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

What Might The Insider Transactions At Community Trust Bancorp Tell Us?

The insider sales have outweighed the insider buying, at Community Trust Bancorp, in the last three months. In contrast, they appear keener if you look at the last twelve months. And insiders do own shares. So we're not overly bothered by recent selling. 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. To that end, you should learn about the 2 warning signs we've spotted with Community Trust Bancorp (including 1 which is significant).

Of course Community Trust Bancorp 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.