8.0%of this General Dynamics Corporation (NYSE:GD) insider's holdings were sold in the last year

Viewing insider transactions for General Dynamics Corporation's (NYSE:GD ) over the last year, we see that insiders were net sellers. This means that a larger number of shares were sold by insiders in relation to shares purchased.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

View our latest analysis for General Dynamics

The Last 12 Months Of Insider Transactions At General Dynamics

The Senior VP, Gregory Gallopoulos, made the biggest insider sale in the last 12 months. That single transaction was for US$2.5m worth of shares at a price of US$228 each. That means that even when the share price was below the current price of US$249, an insider wanted to cash in some shares. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. We note that the biggest single sale was only 8.0% of Gregory Gallopoulos's holding. Gregory Gallopoulos was the only individual insider to sell over the last year.

Gregory Gallopoulos sold a total of 21.77k shares over the year at an average price of US$233. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insider Ownership

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. General Dynamics insiders own 6.3% of the company, currently worth about US$4.3b based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Does This Data Suggest About General Dynamics Insiders?

The fact that there have been no General Dynamics insider transactions recently certainly doesn't bother us. While we feel good about high insider ownership of General Dynamics, we can't say the same about the selling of shares. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing General Dynamics. To assist with this, we've discovered 1 warning sign that you should run your eye over to get a better picture of General Dynamics.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

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.

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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.

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