Some Ceridian HCM Holding Inc. (NYSE:CDAY) shareholders may be a little concerned to see that the Director, Thomas Hagerty, recently sold a substantial US$7.4m worth of stock at a price of US$124 per share. That's a big disposal, and it decreased their holding size by 26%, which is notable but not too bad.
Ceridian HCM Holding Insider Transactions Over The Last Year
In fact, the recent sale by Thomas Hagerty was the biggest sale of Ceridian HCM Holding shares made by an insider individual in the last twelve months, according to our records. So we know that an insider sold shares at around the present share price of US$119. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).
In the last year Ceridian HCM Holding insiders didn't buy any company stock. 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!
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).
Insider Ownership of Ceridian HCM Holding
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. Ceridian HCM Holding insiders own 0.6% of the company, currently worth about US$104m 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 Do The Ceridian HCM Holding Insider Transactions Indicate?
Insiders sold Ceridian HCM Holding shares recently, but they didn't buy any. And even if we look at the last year, we didn't see any purchases. It is good to see high insider ownership, but the insider selling leaves us cautious. 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. In terms of investment risks, we've identified 3 warning signs with Ceridian HCM Holding and understanding them should be part of your investment process.
Of course Ceridian HCM Holding 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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