Director Transactions

Insider Trades: Which ASX 200 directors dumped their shares after reporting season?

Thu 31 Aug 23, 12:33pm (AEDT)
Bear Market - A graph showing large selling of global stock markets
Source: iStock

Key Points

  • Insiders from Goodman Group, CSL and Hub24 are selling into recent share price strength
  • JB Hi-Fi, Seek and South 32 insiders sold into recent share price weakness

Welcome back to the Insider Trades Series – We're beginning to see some sizeable post-reporting season transactions from ASX 200 directors.

The data below observes on-market ASX 200 director sales valued at more than $10,000 between 23 August and 28 August 2023.


Top ASX 200 Director Sells

Code

Company

Date

Director

Type

Price

Value

GMG

Goodman Group

24/08/23

Anthony Rozic

Sell

$22.54

$10,732,073

CSL

CSL

24/08/23

Brian McNamee

Sell

$265.96

$5,585,222

CSL

CSL

25/08/23

Robert Cuthbertson

Sell

$265.55

$5,310,979

HUB

HUB24

24/08/23

Bruce Higgins

Sell

$31.17

$4,647,727

COH

Cochlear

23/08/23

Dig Howitt

Sell

$264.96

$1,589,760

GMG

Goodman Group

24/08/23

Anthony Rozic

Sell

$22.54

$1,287,709

SEK

Seek Ltd

24/08/23

Ian Narev

Sell

$23.35

$1,167,560

JBH

JB Hi-Fi

29/08/23

Nick Wells

Sell

$44.53

$931,368

JBH

JB Hi-Fi

28/08/23

Terry Smart

Sell

$44.80

$896,060

S32

South32

28/8/23

Graham Kerr

Sell

$3.44

$195,763


Two key themes: Most of these ASX 200 stocks rallied off the back of better-than-expected results followed by insiders selling into the strength. We'll recap some of the results and transactions below.

There were also three stocks that sold off post-earnings (JB Hi-Fi, Seek and South32). Conversely, directors are also selling into the weakness.

Goodman Group (ASX: GMG)

  • Results day and share price move: 17 August +5.7% (shares are up 17.5% between 16-30 August)

  • Results recap: Operating earnings per share beat the company's guidance and the market was excited about the company's long-term growth prospects via the development of data centre platforms and residential re-zoning

  • Broker views: Macquarie said "Retain Outperform. We remain attracted to line of sight on earnings and structural drivers underpinning GMG's strategy."

  • Food for thought: Goodman shares are up 17.5% since the day of its FY23 results to levels not seen since May 2022.

2023-08-31 11 41 17-Window
Goodman Group 12-month price chart (Source: Market Index)

CSL (ASX: CSL)

  • Results day and share price move: 15 August +3.7%

  • Results recap: Sales rose 26% year-on-year while net profits lifted by a lesser 10%. Analysts were largely impressed by the result and continue to project double-digit earnings growth in upcoming years.

  • Broker views: CSL had already reset FY24 expectations in a trading update back in mid-June (which triggered a ~15% selloff over the course of the next month). Looking ahead, Macquarie says "we remain positive on the outlook for CSL (base recovery, potential pipeline contributions, yield initiatives). Retain an Outperform rating."

  • Food for thought: CSL has had a pretty muted year, with shares down around 5% year-to-date. Can the market darling deliver on growth or is it priced-to-perfection, given its price-to-earnings of around 60?

2023-08-31 11 42 01-Window
CSL 3-month price chart (Source: Market Index)

Hub24 (ASX: HUB)

  • Results day and share price move: 22 August +11.3%

  • Results recap: Underlying net profits jumped 64% to $58.8 million thanks to the platform's funds under advice growth and improved margins. The net profit figure was 9% ahead of consensus expectations.

  • Broker views: The average price target (post earnings) across 15 sell-side ratings rose 6.7% to $32.93 but most brokers downgraded their ratings to neutral, citing valuation concerns. The main surprise was the company's $50 million buy-back, which analysts highlighting it as management's confidence in the stock and capital position.

  • The state of play: Hub24 shares are up 20.5% year-to-date to near two year highs. Several insiders were net buyers back in June 2022. But Bruce Higgins (Chairman of the Board) has decided to offload approximately $8.4 million in recent weeks.

2023-08-31 13 22 49-HUB24 Ltd (ASX HUB) Share Price - Market Index
HUB24 12-month share price (Source: Market Index)

 

Written By

Kerry Sun

Content Strategist

Kerry holds a Bachelor of Commerce from Monash University. He is an avid swing trader, focused on technical set ups and breakouts. Outside of writing and trading, Kerry is a big UFC fan, loves poker and training Muay Thai. Connect via LinkedIn or email.

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