Yahoo Finance Exxon Mobil Insiders Sell US$2.2m Of Stock, Possibly Signalling Caution
Many Exxon Mobil Corporation (NYSE:XOM) insiders ditched their stock over the past year, which may be of interest to the company's shareholders. When analyzing insider transactions, it is usually more valuable to know whether insiders are buying versus knowing if they are selling, as the latter sends an ambiguous message. However, if numerous insiders are selling, shareholders should investigate more.
Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.
View our latest analysis for Exxon Mobil
The Last 12 Months Of Insider Transactions At Exxon Mobil
In the last twelve months, the biggest single purchase by an insider was when insider Maria Jelescu-Dreyfus bought US$2.0m worth of shares at a price of US$109 per share. That implies that an insider found the current price of US$119 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. In this case we're pleased to report that the insider bought shares at close to current prices. The only individual insider to buy over the last year was Maria Jelescu-Dreyfus.
Over the last year we saw more insider selling of Exxon Mobil shares, than buying. The chart below shows insider transactions (by companies and individuals) over the last year. 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: Most of them are flying under the radar).
Insiders At Exxon Mobil Have Bought Stock Recently
Over the last three months, we've seen significant insider buying at Exxon Mobil. We can see that insider Maria Jelescu-Dreyfus paid US$2.0m for shares in the company. No-one sold. This makes one think the business has some good points.
Does Exxon Mobil 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. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Exxon Mobil insiders own 0.07% of the company, worth about US$387m. 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 Exxon Mobil Insider Transactions Indicate?
The recent insider purchase is heartening. However, the longer term transactions are not so encouraging. The recent buying by an insider , along with high insider ownership, suggest that Exxon Mobil insiders are fairly aligned, and optimistic. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Exxon Mobil. Case in point: We've spotted 1 warning sign for Exxon Mobil you should be aware of.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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 of direct interests only, but not derivative transactions or indirect interests.
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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.
