Investors may wish to note that the Chief Administrative Officer & Director of Solaris Oilfield Infrastructure, Inc., Cynthia Durrett, recently netted US$82k from selling stock, receiving an average price of US$11.00. However we note that the sale only shrunk their holding by 6.3%.
View our latest analysis for Solaris Oilfield Infrastructure Bull Nose
Over the last year, we can see that the biggest insider sale was by the Founder, William Zartler, for US$219k worth of shares, at about US$9.50 per share. That means that even when the share price was below the current price of US$10.99, an insider wanted to cash in some shares. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. 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. It is worth noting that this sale was only 4.1% of William Zartler's holding. Notably William Zartler was also the biggest buyer, having purchased US$105k worth of shares.
All up, insiders sold more shares in Solaris Oilfield Infrastructure than they bought, over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 3.9% of Solaris Oilfield Infrastructure shares, worth about US$19m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
Insiders sold Solaris Oilfield Infrastructure shares recently, but they didn't buy any. Zooming out, the longer term picture doesn't give us much comfort. But since Solaris Oilfield Infrastructure is profitable and growing, we're not too worried by this. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. While conducting our analysis, we found that Solaris Oilfield Infrastructure has 2 warning signs and it would be unwise to ignore them.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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, but not derivative transactions.
Find out whether Solaris Oilfield Infrastructure is potentially over or undervalued by checking out our comprehensive analysis, which includes fair value estimates, risks and warnings, dividends, insider transactions and financial health.
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.
Solaris Oilfield Infrastructure, Inc. designs and manufactures mobile proppant management systems that are used to unload, store, and deliver proppant, water, and chemicals at oil and natural gas well sites in the United States.
Undervalued with adequate balance sheet.
Dissolvable Plug Milling Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.