Q: Hello Peter,
Other than Jason Donville's negative comments on Propel, could the insider selling be another reason for downward movement of the stock. I do find it surprising that insiders sold quite a bit, at much lower than the peak price. Could this be due to the stock options being vested on that particular date? I would appreciate your comments and thanks for prior responses. Here is the site i am referring to
https://ceo.ca/api/sedi/?symbol=prl&amount=&transaction=&insider
Other than Jason Donville's negative comments on Propel, could the insider selling be another reason for downward movement of the stock. I do find it surprising that insiders sold quite a bit, at much lower than the peak price. Could this be due to the stock options being vested on that particular date? I would appreciate your comments and thanks for prior responses. Here is the site i am referring to
https://ceo.ca/api/sedi/?symbol=prl&amount=&transaction=&insider
5i Research Answer:
There has been a flurry of insider selling since the pop following its earnings release, however, insiders still own a large portion of the company (40%+), and for a company that is nearly $1B and growing fast, that would represent a very low public float. The insider sales could be putting downward pressure on the name, but its run-up has been quick, and without any major news, we feel this price action is mostly profit-taking. It trades at a cheaper valuation than GSY now, and is expected to grow at a much faster rate.