We wouldn't blame Plexus Corp. (NASDAQ:PLXS) shareholders if they were a little worried about the fact that Dean Foate, the Non-Executive Chairman recently netted about US$2.1m selling shares at an average price of US$205. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 8.0%.

Plexus Insider Transactions Over The Last Year

Notably, that recent sale by Dean Foate is the biggest insider sale of Plexus shares that we've seen in the last year. So we know that an insider sold shares at around the present share price of US$199. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. 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).

Insiders in Plexus didn't buy any shares in the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Insider Ownership Of Plexus

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 appears that Plexus insiders own 1.6% of the company, worth about US$90m. 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 Plexus Tell Us?

Insiders haven't bought Plexus stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. But it is good to see that Plexus is growing earnings. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company.

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.