Yahoo Finance Walt Disney Insiders Placed Bullish Bets Worth US$2.22m
In the last year, multiple insiders have substantially increased their holdings of The Walt Disney Company (NYSE:DIS) stock, indicating that insiders' optimism about the company's prospects has increased.
While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.
See our latest analysis for Walt Disney
The Last 12 Months Of Insider Transactions At Walt Disney
In the last twelve months, the biggest single purchase by an insider was when insider James Gorman bought US$2.1m worth of shares at a price of US$106 per share. That means that an insider was happy to buy shares at above the current price of US$103. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. To us, it's very important to consider the price insiders pay for shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.
Over the last year, we can see that insiders have bought 21.08k shares worth US$2.2m. But insiders sold 5.40k shares worth US$579k. In the last twelve months there was more buying than selling by Walt Disney insiders. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Walt Disney is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.
Insiders At Walt Disney Have Bought Stock Recently
Over the last three months, we've seen significantly more insider buying, than insider selling, at Walt Disney. insider James Gorman spent US$2.1m on stock. But we did see Senior EVP & Chief Human Resources Officer Sonia Coleman sell shares worth US$466k. We think insiders may be optimistic about the future, since insiders have been net buyers of shares.
Insider Ownership
Many investors like to check how much of a company is owned by insiders. 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 0.03% of Walt Disney shares, worth about US$56m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Does This Data Suggest About Walt Disney Insiders?
The recent insider purchase is heartening. And an analysis of the transactions over the last year also gives us confidence. When combined with notable insider ownership, these factors suggest Walt Disney insiders are well aligned, and that they may think the share price is too low. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. You'd be interested to know, that we found 2 warning signs for Walt Disney and we suggest you have a look.
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 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.
