Some Nutanix, Inc. (NASDAQ:NTNX) shareholders may be a little concerned to see that the President & Chief Commercial Officer, Tarkan Maner, recently sold a substantial US$2.7m worth of stock at a price of US$54.14 per share. That's a big disposal, and it decreased their holding size by 47%, which is notable but not too bad.

The Last 12 Months Of Insider Transactions At Nutanix

Notably, that recent sale by Tarkan Maner is the biggest insider sale of Nutanix 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$54.97. 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).

The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

I will like Nutanix better if I see some big insider buys.

Does Nutanix Boast High Insider Ownership?

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with 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. It appears that Nutanix insiders own 0.5% of the company, worth about US$76m. 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 Does This Data Suggest About Nutanix Insiders?

An insider sold Nutanix shares recently, but they didn't buy any. And even if we look at the last year, we didn't see any purchases. But it is good to see that Nutanix is growing earnings. Insiders own shares, but we're still pretty cautious, given the history of sales. We're in no rush to buy! 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. For example, Nutanix has 3 warning signs (and 1 which makes us a bit uncomfortable) we think you should know about.

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.