We wouldn't blame Parker-Hannifin Corporation (NYSE:PH) shareholders if they were a little worried about the fact that Andrew Ross, the President & COO recently netted about US$5.8m selling shares at an average price of US$1,058. That's a big disposal, and it decreased their holding size by 24%, which is notable but not too bad.

The Last 12 Months Of Insider Transactions At Parker-Hannifin

Notably, that recent sale by Andrew Ross is the biggest insider sale of Parker-Hannifin shares that we've seen in the last year. So what is clear is that an insider saw fit to sell at around the current price of US$1,023. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

In the last year Parker-Hannifin 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. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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Does Parker-Hannifin Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. It's great to see that Parker-Hannifin insiders own 0.2% of the company, worth about US$262m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At Parker-Hannifin Tell Us?

Insiders sold stock recently, but they haven't been buying. And there weren't any purchases to give us comfort, over the last year. On the plus side, Parker-Hannifin makes money, and is growing profits. It is good to see high insider ownership, but the insider selling leaves us cautious. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Parker-Hannifin.

Of course Parker-Hannifin 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.