Insiders Sell $224M of JPMorgan Chase Stock, Suggesting Weakness
Insiders at JPMorgan Chase & Co. (NYSE:JPM) have been making moves by selling a significant amount of shares over the past year. While insider buying is typically more reassuring, when multiple insiders sell off stock, it’s worth paying attention to as it could be a cause for concern.
In the last year, the Chairman & CEO, James Dimon, made the biggest insider sale, offloading $150 million worth of shares at around $183 per share. Even though the current share price is higher at $250, this sale is significant. Insider selling below the current price can signal that insiders believe the shares are overvalued, although it’s not a definite indicator.
On the flip side, there hasn’t been any insider buying at JPMorgan Chase in the past year. Insider ownership of the company stands at 0.4%, totaling about $2.6 billion. This level of insider ownership is generally seen as positive, indicating that management is aligned with shareholders.
While insider trading activity is worth noting, it’s equally important to be aware of the risks a company faces. For JPMorgan Chase, there are some warning signs that investors should consider. If you want to explore other companies with strong financials, don’t miss our list of high return on equity, low debt companies.
It’s always insightful to keep an eye on insider transactions, but remember to look at the broader picture before making any investment decisions. If you want more in-depth analysis and alerts on your stock portfolios, check out our portfolio companion tool for free. And if you have any feedback or concerns about this article, feel free to get in touch.
