Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying, like in the case of Jackson Financial Inc. (NYSE:JXN), it sends a favourable message to the company’s shareholders.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.
Check out our latest analysis for Jackson Financial
The Last 12 Months Of Insider Transactions At Jackson Financial
In the last twelve months, the biggest single sale by an insider was when the Executive VP & COO, Devkumar Ganguly, sold US$494k worth of shares at a price of US$36.57 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$29.21). So it is hard to draw any strong conclusion from it. Devkumar Ganguly was the only individual insider to sell over the last year.
Over the last year, we can see that insiders have bought 16.15k shares worth US$514k. But they sold 13.50k shares for US$494k. In total, Jackson Financial insiders bought more than they sold over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
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.
Insiders At Jackson Financial Have Sold Stock Recently
Over the last three months, we’ve seen significant insider selling at Jackson Financial. In total, Executive VP & COO Devkumar Ganguly sold US$494k worth of shares in that time, and we didn’t record any purchases whatsoever. Overall this makes us a bit cautious, but it’s not the be all and end all.
Does Jackson Financial Boast High Insider Ownership?
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 1.8% of Jackson Financial shares, worth about US$43m. 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 Jackson Financial Insiders?
An insider sold stock recently, but they haven’t been buying. In contrast, they appear keener if you look at the last twelve months. And insiders do own shares. So we’re not overly bothered by recent selling. 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. To help with this, we’ve discovered 5 warning signs (1 is significant!) that you ought to be aware of before buying any shares in Jackson Financial.
If you would prefer to check out another company — one with potentially superior financials — then do not miss this free list of interesting companies, that have HIGH return on equity 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, 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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