We wouldn't blame GE Vernova Inc. (NYSE:GEV) shareholders if they were a little worried about the fact that Victor Abate, the Chief Executive Officer of Wind recently netted about US$4.6m selling shares at an average price of US$948. That diminished their holding by a very significant 72%, which arguably implies a strong desire to reallocate capital.

GE Vernova Insider Transactions Over The Last Year

In fact, the recent sale by Victor Abate was the biggest sale of GE Vernova shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at below the current price (US$963). We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. However, while insider selling is sometimes discouraging, it's only a weak signal. It is worth noting that this sale was 72% of Victor Abate's holding.

GE Vernova insiders didn't buy any shares over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

I will like GE Vernova better if I see some big insider buys.

Does GE Vernova Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. GE Vernova insiders own about US$253m worth of shares (which is 0.1% of the company). I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At GE Vernova Tell Us?

Insiders sold GE Vernova shares recently, but they didn't buy any. Looking to the last twelve months, our data doesn't show any insider buying. On the plus side, GE Vernova makes money, and is growing profits. It is good to see high insider ownership, but the insider selling leaves us cautious. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company.

But note: GE Vernova 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.