Yahoo Finance Bullish insiders at Greenhill & Co., Inc. (NYSE:GHL) loaded up on US$5.8m of stock earlier this year
Over the last year, a good number of insiders have significantly increased their holdings in Greenhill & Co., Inc. (NYSE:GHL). This is encouraging because it indicates that insiders are more optimistic about the company's prospects.
Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.
See our latest analysis for Greenhill
Greenhill Insider Transactions Over The Last Year
In the last twelve months, the biggest single sale by an insider was when the President, David Wyles, sold US$1.2m worth of shares at a price of US$18.27 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (US$12.62). So it is hard to draw any strong conclusion from it. David Wyles was the only individual insider to sell shares in the last twelve months.
In the last twelve months insiders purchased 577.33k shares for US$5.8m. But insiders sold 66.08k shares worth US$1.2m. In total, Greenhill insiders bought more than they sold over the last year. Their average price was about US$10.13. It is certainly positive to see that insiders have invested their own money in the company. However, we do note that they were buying at significantly lower prices than today's share price. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Greenhill Insiders Bought Stock Recently
It's good to see that Greenhill insiders have made notable investments in the company's shares. Not only was there no selling that we can see, but they collectively bought US$488k worth of shares. This makes one think the business has some good points.
Does Greenhill Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Greenhill insiders own 31% of the company, worth about US$71m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Does This Data Suggest About Greenhill Insiders?
The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. Insiders likely see value in Greenhill shares, given these transactions (along with notable insider ownership of the company). 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. Every company has risks, and we've spotted 3 warning signs for Greenhill (of which 1 can't be ignored!) 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, but not derivative transactions.
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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.
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