對Verizon來説，今年早些時候出售價值200萬美元的股票是一個有利可圖的決定。

Last week, Verizon Communications Inc.'s (NYSE:VZ) stock jumped 3.3%, but insiders who sold US$2.0m worth of stock in over the past year are likely to be in a better position. Selling at an average price of US$51.93, which is higher than the current price might have been the right call as holding on to stock would have meant their investment would be worth less now than it was at the time of sale.

While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

Check out our latest analysis for Verizon Communications

The Last 12 Months Of Insider Transactions At Verizon Communications

In the last twelve months, the biggest single sale by an insider was when the Executive VP & CEO of Verizon Business, Tamara Erwin, sold US$1.2m worth of shares at a price of US$49.77 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of US$50.79. 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. However, while insider selling is sometimes discouraging, it's only a weak signal. It is worth noting that this sale was only 26% of Tamara Erwin's holding.

All up, insiders sold more shares in Verizon Communications than they bought, over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).

Insiders at Verizon Communications Have Sold Stock Recently

Over the last three months, we've seen significant insider selling at Verizon Communications. In total, Executive VP & CEO of Verizon Business Tamara Erwin sold US$1.2m worth of shares in that time, and we didn't record any purchases whatsoever. In light of this it's hard to argue that all the insiders think that the shares are a bargain.

Does Verizon Communications Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Verizon Communications insiders own about US$36m worth of shares. That equates to 0.02% of the company. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

What Might The Insider Transactions At Verizon Communications Tell Us?

An insider sold stock recently, but they haven't been buying. Despite some insider buying, the longer term picture doesn't make us feel much more positive. On the plus side, Verizon Communications makes money, and is growing profits. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. So we'd only buy after careful consideration. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. Case in point: We've spotted 3 warning signs for Verizon Communications you should be aware of.

Of course Verizon Communications 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, 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.