We wouldn't blame Wynn Macau, Limited (HKG:1128) shareholders if they were a little worried about the fact that Jean-Luc Luvisutto, the COO & Executive Director recently netted about HK$4.8m selling shares at an average price of HK$5.64. However, that sale only accounted for 8.5% of their holding, so arguably it doesn't say much about their conviction.

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Wynn Macau Insider Transactions Over The Last Year

In fact, the recent sale by COO & Executive Director Jean-Luc Luvisutto was not their only sale of Wynn Macau shares this year. Earlier in the year, they fetched HK$7.78 per share in a -HK$9.3m sale. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (HK$4.95). So it is hard to draw any strong conclusion from it.

Jean-Luc Luvisutto ditched 2.04m shares over the year. The average price per share was HK$6.88. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

Check out our latest analysis for Wynn Macau

I will like Wynn Macau better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

Insider Ownership

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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 0.2% of Wynn Macau shares, worth about HK$54m, according to our data. We do generally prefer see higher levels of insider ownership.

So What Do The Wynn Macau Insider Transactions Indicate?

An insider hasn't bought Wynn Macau stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. But it is good to see that Wynn Macau is growing earnings. Insiders own shares, but we're still pretty cautious, given the history of sales. So we'd only buy after careful consideration. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. To help with this, we've discovered 4 warning signs (2 are significant!) that you ought to be aware of before buying any shares in Wynn Macau.

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 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.