We'd be surprised if OneWater Marine Inc. (NASDAQ:ONEW) shareholders haven't noticed that the CFO & Secretary, Jack Ezzell, recently sold US$300k worth of stock at US$54.51 per share. The eyebrow raising move amounted to a reduction of 33% in their holding.
The Last 12 Months Of Insider Transactions At OneWater Marine
Over the last year, we can see that the biggest insider sale was by the Founder, Philip Singleton, for US$4.6m worth of shares, at about US$20.84 per share. That means that even when the share price was below the current price of US$51.02, an insider wanted to cash in some shares. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. It is worth noting that this sale was 52% of Philip Singleton's holding.
OneWater Marine insiders didn't buy any shares over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).
Does OneWater Marine 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. OneWater Marine insiders own about US$174m worth of shares (which is 23% of the company). 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 Do The OneWater Marine Insider Transactions Indicate?
An insider hasn't bought OneWater Marine stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. But since OneWater Marine 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. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing OneWater Marine. While conducting our analysis, we found that OneWater Marine has 4 warning signs and it would be unwise to ignore them.
Of course OneWater Marine may not be the best stock to buy. So you may wish to see this free collection of high quality 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.
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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