Yahoo Finance Are Insiders Selling TFI International Inc. (TSE:TFII) Stock?
It is not uncommon to see companies perform well in the years after insiders buy shares. The flip side of that is that there are more than a few examples of insiders dumping stock prior to a period of weak performance. So shareholders might well want to know whether insiders have been buying or selling shares in TFI International Inc. (TSE:TFII).
What Is Insider Buying?
Most investors know that it is quite permissible for company leaders, such as directors of the board, to buy and sell stock on the market. However, such insiders must disclose their trading activities, and not trade on inside information.
We don’t think shareholders should simply follow insider transactions. But equally, we would consider it foolish to ignore insider transactions altogether. As Peter Lynch said, ‘insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.’
See our latest analysis for TFI International
The Last 12 Months Of Insider Transactions At TFI International
Over the last year, we can see that the biggest insider sale was by Executive VP & CFO Gregory Rumble for CA$1.2m worth of shares, at about CA$47.60 per share. Although we don’t gain confidence from insider selling, we note that this large sale was at well above current price of CA$34.30. So it may not tell us anything about how insiders feel about the current share price.
All up, insiders sold more shares in TFI International than they bought, over the last year. The average sell price was around CA$47.50. Insider selling doesn’t make us excited to buy. However, we do note that the average sale price was significantly higher than the current share price (which is CA$34.30). The chart below shows insider transactions over the last year. 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.
Does TFI International Boast High Insider Ownership?
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it’s a good sign if insiders own a significant number of shares in the company. TFI International insiders own 5.3% of the company, currently worth about CA$158m 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 Does This Data Suggest About TFI International Insiders?
The fact that there have been no TFI International insider transactions recently certainly doesn’t bother us. It’s great to see high levels of insider ownership, but looking back at the last year, we don’t gain confidence from the TFI International insiders selling. Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for TFI International.
Of course TFI International may not be the best stock to buy. So you may wish to see this free collection of high quality companies.
To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.
