Last week, The Beachbody Company, Inc.'s (NYSE:BODI) stock jumped 16%, but insiders who sold US$915k worth of stock in over the past year are likely to be in a better position. Selling at an average price of US$9.74, which is higher than the current price, may have been the wisest decision for these insiders as their investment would have been worth less now than when they sold.

Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

See our latest analysis for Beachbody Company

The Last 12 Months Of Insider Transactions At Beachbody Company

The insider, Jonathan Congdon, made the biggest insider sale in the last 12 months. That single transaction was for US$462k worth of shares at a price of US$10.75 each. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The good news is that this large sale was at well above current price of US$6.79. So it may not tell us anything about how insiders feel about the current share price. The only individual insider seller over the last year was Jonathan Congdon.

Jonathan Congdon ditched 93.97k shares over the year. The average price per share was US$9.74. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

For those who like to find hidden gems this free list of small cap companies with recent insider purchasing, could be just the ticket.

Insider Ownership Of Beachbody Company

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Beachbody Company insiders own 44% of the company, currently worth about US$17m based on the recent share price. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Does This Data Suggest About Beachbody Company Insiders?

The fact that there have been no Beachbody Company insider transactions recently certainly doesn't bother us. While we feel good about high insider ownership of Beachbody Company, we can't say the same about the selling of shares. 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. While conducting our analysis, we found that Beachbody Company has 4 warning signs and it would be unwise to ignore these.

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 of direct interests only, but not derivative transactions or indirect interests.

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