Have Mohawk Industries Insiders Been Selling Stock?
We wouldn't blame Mohawk Industries, Inc. (NYSE:MHK) shareholders if they were a little worried about the fact that Jeffrey Lorberbaum, the Chairman & CEO recently netted about US$902k selling shares at an average price of US$110. However, that sale only accounted for 0.09% of their holding, so arguably it doesn't say much about their conviction.
The Last 12 Months Of Insider Transactions At Mohawk Industries
In fact, the recent sale by Chairman & CEO Jeffrey Lorberbaum was not their only sale of Mohawk Industries shares this year. They previously made an even bigger sale of -US$1.9m worth of shares at a price of US$121 per share. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The silver lining is that this sell-down took place above the latest price (US$108). So it may not shed much light on insider confidence at current levels.
In the last year Mohawk Industries insiders didn't buy any company stock. 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!
See our latest analysis for Mohawk Industries
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).
Does Mohawk Industries Boast High 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. It's great to see that Mohawk Industries insiders own 16% of the company, worth about US$1.1b. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Does This Data Suggest About Mohawk Industries Insiders?
An insider hasn't bought Mohawk Industries stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. 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. Case in point: We've spotted 2 warning signs for Mohawk Industries you should be aware of.
But note: Mohawk Industries 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.
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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.