Should investors be worried about a
The latest data from GuruFocus shows that Executive Vice President and COO Robert Mauch sold 21,802 shares of AmerisourceBergen Corp (ABC) on 2022-11-04.
Investors may be concerned when an insider sells shares. This could be a sign that insiders are turning bearish on their own company’s stock. Insiders have a unique advantage in determining the value of their business, so when they start selling, investors pay attention. Let’s take a look at this insider sell-off to see if AmerisourceBergen Corp deserves some skepticism from investors.
The professions of Robert Mauch
Over the past year, Robert Mauch has sold 66,294 shares in total.
This means that Robert Mauch has sold the shares of their longer-term company. This could actually be a positive sign for the stock, contrary to expectations. When insiders sell frequently, it may be because their company issues a lot of stock options to compensate executives. The leaders will then sell some of the new shares for cash. Of course, it’s also possible that the selloff was due to insiders becoming more bearish on the stock. Investors should be careful when evaluating insider selling.
Even if an insider sells, it does not mean that other insiders are bearish on the security. Are other insiders also selling the shares, or have the company’s top executives and owners bought more recently?
The insider trading history for AmerisourceBergen Corp shows there have been 0 total insider buying in the past year. Meanwhile, there were 26 insider sales during the same period.
Robert Mauch isn’t the only insider to sell stocks recently; other company insiders are also selling more than they are buying, which could worry investors. However, we should keep in mind that insiders sell for many reasons, such as needing cash or taking advantage of company stock buyback plans. High insider selling can be a bad sign or a neutral sign, depending on the reasoning behind the selling.
Please note that figures and facts quoted are at the time of writing this article and may not reflect the latest business data or company announcements.
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This article is general in nature and does not represent the views of GuruFocus or any of its affiliates. This article is not intended to be financial advice, nor does it constitute investment advice or recommendation. It has been written without taking into account your personal situation or financial objectives. Our goal is to bring you data-driven fundamental analysis. The information on this site is in no way guaranteed to be complete, accurate or in any other way.
- CEO Buys, CFO Buys: Stocks bought by their CEO/CFO.
- Insider Cluster Purchases: Shares purchased by several officers and directors of the company.
- Double Buys :: Companies that gurus and insiders are buying
- Triple Buys: Companies that gurus and insiders buy, and the company buys out.
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