We wouldn't blame Ryan Specialty Holdings, Inc. (NYSE:RYAN) shareholders if they were a little worried about the fact that Jeremiah Bickham, the President recently netted about US$3.5m selling shares at an average price of US$70.09. That diminished their holding by a very significant 96%, which arguably implies a strong desire to reallocate capital.

We've discovered 4 warning signs about Ryan Specialty Holdings. View them for free.

The Last 12 Months Of Insider Transactions At Ryan Specialty Holdings

Over the last year, we can see that the biggest insider sale was by the Director, Nicholas Cortezi, for US$7.0m worth of shares, at about US$67.17 per share. That means that an insider was selling shares at slightly below the current price (US$70.59). When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. This single sale was just 40% of Nicholas Cortezi's stake.

Over the last year, we can see that insiders have bought 625.00 shares worth US$44k. On the other hand they divested 719.78k shares, for US$48m. In total, Ryan Specialty Holdings insiders sold more than they bought over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

I will like Ryan Specialty Holdings better if I see some big insider buys.

Insider Ownership

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Ryan Specialty Holdings insiders own 7.6% of the company, currently worth about US$1.4b based on the recent share price. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Do The Ryan Specialty Holdings Insider Transactions Indicate?

The insider sales have outweighed the insider buying, at Ryan Specialty Holdings, in the last three months. Despite some insider buying, the longer term picture doesn't make us feel much more positive. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. 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.

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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.