We wouldn't blame Cadre Holdings, Inc. (NYSE:CDRE) shareholders if they were a little worried about the fact that Warren Kanders, the Executive Chairman & CEO recently netted about US$6.5m selling shares at an average price of US$32.61. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 1.8%.

The Last 12 Months Of Insider Transactions At Cadre Holdings

Notably, that recent sale by Executive Chairman & CEO Warren Kanders was not the only time they sold Cadre Holdings shares this year. They previously made an even bigger sale of -US$52m worth of shares at a price of US$39.00 per share. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. The good news is that this large sale was at well above current price of US$31.10. So it may not tell us anything about how insiders feel about the current share price.

In the last year Cadre Holdings insiders didn't buy any company stock. 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 Cadre Holdings better if I see some big insider buys.

Insider Ownership Of Cadre Holdings

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Cadre Holdings insiders own 27% of the company, worth about US$366m. 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 Cadre Holdings Insider Transactions Indicate?

An insider sold stock recently, but they haven't been buying. Looking to the last twelve months, our data doesn't show any insider buying. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. 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.

But note: Cadre Holdings may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.

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.