Caesars Entertainment Insiders Added US$3.06m Of Stock To Their Holdings

Quite a few insiders have dramatically grown their holdings in Caesars Entertainment, Inc. (NASDAQ:CZR) over the past 12 months. An insider’s optimism about the company’s prospects is a positive sign.

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.

View our latest analysis for Caesars Entertainment

The Last 12 Months Of Insider Transactions At Caesars Entertainment

The Independent Director Michael Pegram made the biggest insider purchase in the last 12 months. That single transaction was for US$1.5m worth of shares at a price of US$36.40 each. That means that an insider was happy to buy shares at around the current price of US$37.08. Of course they may have changed their mind. But this suggests they are optimistic. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today’s share price, as the discount to value may have narrowed with the rising price. The good news for Caesars Entertainment share holders is that insiders were buying at near the current price.

In the last twelve months insiders purchased 81.00k shares for US$3.1m. But insiders sold 10.69k shares worth US$349k. In total, Caesars Entertainment insiders bought more than they sold over the last year. 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!

Caesars Entertainment is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Insiders At Caesars Entertainment Have Sold Stock Recently

There was substantially more insider selling, than buying, of Caesars Entertainment shares over the last three months. We note insiders cashed in US$349k worth of shares. On the other hand we note Independent Director Bonnie Biumi bought US$32k worth of shares. Because the selling vastly outweighs the buying, we’d say this is a somewhat bearish sign.

Insider Ownership Of Caesars Entertainment

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it’s a good sign if insiders own a significant number of shares in the company. Insiders own 0.7% of Caesars Entertainment shares, worth about US$61m. We’ve certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Do The Caesars Entertainment Insider Transactions Indicate?

The insider sales have outweighed the insider buying, at Caesars Entertainment, in the last three months. In contrast, they appear keener if you look at the last twelve months. We like that insiders own a fair amount of the company. So we’re happy enough to look past some selling. Of course, the future is what matters most. So if you are interested in Caesars Entertainment, you should check out this free report on analyst forecasts for the company.

Of course Caesars Entertainment 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 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.