A number of Cohu, Inc. (NASDAQ:COHU) Insiders have been selling shares over the past year, which may have raised concerns among investors. When analyzing insider transactions, it is usually more valuable to know whether insiders are buying than whether they are selling, as the latter sends an ambiguous message. However, when numerous insiders are selling, shareholders should investigate further.
Although insider transactions are not the most important thing in long-term investing, we think it is perfectly logical to keep an eye on insider activities.
Check out our latest analysis for Cohu
Cohu insider transactions in the last year
Over the last year, we found that the largest insider sale was by Lead Independent Director Steven Bilodeau, who sold $232,000 worth of shares at a price of about $29.24 per share. We generally don’t like to see insider selling, but the lower the sell price, the more concerned we are. One bright spot is that this sale occurred above the last price ($25.70), so it may not shed much light on insider confidence at current levels.
Cohu insiders have not purchased any shares in the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much and when, just click on the chart below!
If you are like me, you will not don’t want to miss this free List of small-cap stocks that are not only bought by insiders but are also attractively valued.
Insider ownership of Cohu
For a common shareholder, it’s worth checking how many shares are held by company insiders. Typically, the higher the insider ownership, the more likely it is that insiders are motivated to build the company for the long term. Insiders own 2.5% of Cohu shares, worth about $31 million. While this is a strong but not outstanding level of insider ownership, it’s enough to suggest some alignment between management and smaller shareholders.
So what does this data say about Cohu insiders?
The fact that there have been no insider transactions at Cohu recently certainly doesn’t bother us. The transactions of Cohu insiders are not a great encouragement to us. The modest amount of insider ownership is at least some comfort. If you’re like me, you might be thinking about whether this company is going to grow or shrink. Luckily, you can check free Report with analyst forecasts for the future.
Naturally Cohu may not be the best stock to buy. You may want to see this free Collection of high quality companies.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulator. Currently, we only consider open market transactions and private disposals of direct holdings, but not derivative transactions or indirect holdings.
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This Simply Wall St article is of a general nature. We comment solely on the basis of historical data and analyst forecasts, using an unbiased methodology. Our articles do not constitute financial advice. It is not a recommendation to buy or sell any stock and does not take into account your objectives or financial situation. Our goal is to provide you with long-term analysis based on fundamental data. Note that our analysis may not take into account the latest price-sensitive company announcements or qualitative materials. Simply Wall St does not hold any of the stocks mentioned.