Have Oceania Healthcare Limited (NZSE:OCA) Insiders Been Selling Their Stock? – Simply Wall St

Some Oceania Healthcare Limited (NZSE:OCA) shareholders may be a little concerned to see that insider Earl Gasparich recently sold a substantial NZ$1.5m worth of stock at a price of NZ$1.53 per share. That's a big disposal, and it decreased their holding size by 47%, which is notable but not too bad.

See our latest analysis for Oceania Healthcare

Notably, that recent sale by Earl Gasparich is the biggest insider sale of Oceania Healthcare shares that we've seen in the last year. So it's clear an insider wanted to take some cash off the table, even slightly below the current price of NZ$1.54. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. However, while insider selling is sometimes discouraging, it's only a weak signal. This single sale was just 47% of Earl Gasparich's stake.

Over the last year, we can see that insiders have bought 934.29k shares worth NZ$1.3m. But they sold 2.64m shares for NZ$4.0m. All up, insiders sold more shares in Oceania Healthcare than they bought, over the last year. 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!

For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

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. Insiders own 2.4% of Oceania Healthcare shares, worth about NZ$26m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

Unfortunately, there has been more insider selling of Oceania Healthcare stock, than buying, in the last three months. And our longer term analysis of insider transactions didn't bring confidence, either. On the plus side, Oceania Healthcare makes money, and is growing profits. While insiders do own shares, they don't own a heap, and they have been selling. We'd practice some caution before buying! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Oceania Healthcare. Our analysis shows 4 warning signs for Oceania Healthcare (1 doesn't sit too well with us!) and we strongly recommend you look at these before investing.

But note: Oceania Healthcare may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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. *Interactive Brokers Rated Lowest Cost Broker by StockBrokers.com Annual Online Review 2020

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Have Oceania Healthcare Limited (NZSE:OCA) Insiders Been Selling Their Stock? - Simply Wall St