Lead Independent Director Of AST SpaceMobile Sold 26% Of Their Shares

Some AST SpaceMobile, Inc. (NASDAQ:ASTS) shareholders may be a little concerned to see that the Lead Independent Director, Julio Torres, recently sold a substantial US$1.1m worth of stock at a price of US$76.34 per share. That sale reduced their total holding by 26% which is hardly insignificant, but far from the worst we've seen.

Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit.

AST SpaceMobile Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the President & Chief Strategy Officer, Scott Wisniewski, sold US$1.8m worth of shares at a price of US$35.65 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of US$83.67. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. We note that the biggest single sale was only 11% of Scott Wisniewski's holding.

Over the last year we saw more insider selling of AST SpaceMobile shares, than buying. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

View our latest analysis for AST SpaceMobile

For those who like to find hidden gems this free list of small cap companies with recent insider purchasing, could be just the ticket.

Insider Ownership

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. AST SpaceMobile insiders own 0.5% of the company, currently worth about US$178m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Does This Data Suggest About AST SpaceMobile Insiders?

An insider sold stock recently, but they haven't been buying. And our longer term analysis of insider transactions didn't bring confidence, either. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing AST SpaceMobile. Every company has risks, and we've spotted 4 warning signs for AST SpaceMobile you should know about.

Of course AST SpaceMobile may not be the best stock to buy. So you may wish 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 regulatory body. We currently account for open market transactions and private dispositions of direct interests only, but not derivative transactions or indirect interests.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.