We wouldn't blame Applied Industrial Technologies, Inc. (NYSE:AIT) shareholders if they were a little worried about the fact that Kurt Loring, the VP & Chief Human Resource Officer recently netted about US$900k selling shares at an average price of US$164. That sale reduced their total holding by 20% which is hardly insignificant, but far from the worst we've seen.

See our latest analysis for Applied Industrial Technologies

Applied Industrial Technologies Insider Transactions Over The Last Year

The President, Neil Schrimsher, made the biggest insider sale in the last 12 months. That single transaction was for US$4.6m worth of shares at a price of US$154 each. So it's clear an insider wanted to take some cash off the table, even below the current price of US$162. 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. We note that the biggest single sale was only 9.0% of Neil Schrimsher's holding.

In the last year Applied Industrial Technologies 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 want to know exactly who sold, for how much, and when, simply click on the graph below!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insider Ownership Of Applied Industrial Technologies

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Applied Industrial Technologies insiders own 1.6% of the company, currently worth about US$101m based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

What Might The Insider Transactions At Applied Industrial Technologies Tell Us?

Insiders sold Applied Industrial Technologies shares recently, but they didn't buy any. And even if we look at the last year, we didn't see any purchases. But since Applied Industrial Technologies is profitable and growing, we're not too worried by this. It is good to see high insider ownership, but the insider selling leaves us cautious. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. For example - Applied Industrial Technologies has 1 warning sign we think you should be aware of.

But note: Applied Industrial Technologies 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.