Did Brave Bison Group plc (LON:BBSN) Insiders Sell Shares?

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We often see insiders buying up shares in companies that perform well over the long term. The flip side of that is that there are more than a few examples of insiders dumping stock prior to a period of weak performance. So we'll take a look at whether insiders have been buying or selling shares in Brave Bison Group plc (LON:BBSN).

What Is Insider Selling?

Most investors know that it is quite permissible for company leaders, such as directors of the board, to buy and sell stock on the market. However, rules govern insider transactions, and certain disclosures are required.

Insider transactions are not the most important thing when it comes to long-term investing. But equally, we would consider it foolish to ignore insider transactions altogether. For example, a Columbia University study found that 'insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers'.

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Brave Bison Group Insider Transactions Over The Last Year

The , Claire Hungate, made the biggest insider sale in the last 12 months. That single transaction was for UK£103k worth of shares at a price of UK£0.021 each. So what is clear is that an insider saw fit to sell at around the current price of UK£0.018. While we don't usually like to see insider selling, it's more concerning if the sales take price at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

In the last twelve months insiders purchased 1.3m shares for UK£25k. On the other hand they divested 6.0m shares, for UK£131k. All up, insiders sold more shares in Brave Bison Group than they bought, over the last year. You can see the insider transactions (by individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

AIM:BBSN Recent Insider Trading, May 5th 2019
AIM:BBSN Recent Insider Trading, May 5th 2019

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Brave Bison Group Insiders Are Selling The Stock

Over the last three months, we've seen notably more insider selling, than insider buying, at Brave Bison Group. In that time, insiders dumped UK£131k worth of shares. Meanwhile insiders bought UK£25k worth, as we said above. The share price has moved a bit recently, but it's hard to argue that the selling is a positive.