The Environmental Group Limited’s (ASX:EGL) stock price has dropped 16% in the previous week, but insiders who sold AU$3.2m in stock over the past year have had less luck. Insiders might have been better off holding onto their shares, given that the average selling price of AU$0.25 is still below the current share price.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
