Anyone interested in LCI Industries (NYSE: LCII) should probably know that Executive Vice President and Chief Human Resources Officer Nick Fletcher recently sold $422,000 worth of company stock, at an average price of $117 each. In particular, we note that the sale was equivalent to a 100% reduction in their position size, which does not really inspire confidence.

Discover our latest analysis for LCI Industries

LCI Industries insider trading over the past year

In the past year, we can see that the biggest insider buy was made by independent director James Gero for $1.1 million worth of shares, or about $106 per share. We like to see buy, but this buy was made way below the current price of US$120. Because it occurred at a lower valuation, that tells us little about whether insiders might find today’s price attractive.

Over the past year, we can see that insiders have purchased 24.27,000 shares worth $2.6 million. On the other hand, they sold 6,760 shares, for 920,000 USD. Overall, LCI Industries insiders have been net buyers over the past year. The chart below shows insider trading (by companies and individuals) over the past year. By clicking on the graph below, you will be able to see the precise detail of each insider trade!

NYSE: LCII Insider Trading Volume as of June 1, 2022

There are always plenty of stocks that insiders are buying. So if it suits your style you can check each stock one by one or you can take a look at this free list of companies. (Hint: insiders bought them).

Insider ownership

I like to look at how many shares insiders own in a company, to help me get a sense of how aligned they are with insiders. I think it’s a good sign if insiders have a significant number of shares in the company. It appears that LCI Industries insiders own 3.1% of the company, worth around $95 million. This level of insider ownership is good, but just short of being particularly noteworthy. This certainly suggests a reasonable degree of alignment.

So what do LCI Industries insider trading indicate?

It is certainly positive to see the recent insider buying. And an analysis of last year’s transactions also gives us confidence. Insiders likely see value in LCI Industries stock, given these transactions (as well as notable insider ownership of the company). In addition to knowing the insider trading in progress, it is useful to identify the risks facing LCI Industries. When we did our research, we found 4 warning signs for LCI Industries (3 doesn’t sit too well with us!) that we think deserve your full attention.

Sure, you might find a fantastic investment by looking elsewhere. So take a look at this free list of interesting companies.

For the purposes of this article, insiders are persons who report their transactions to the relevant regulatory body. We currently record open market transactions and private dispositions, but not derivative transactions.

This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts only using unbiased methodology and our articles are not intended to be financial advice. It is not a recommendation to buy or sell stocks and does not take into account your objectives or financial situation. Our goal is to bring you targeted long-term analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price-sensitive companies or qualitative materials. Simply Wall St has no position in the stocks mentioned.