From what we can see, insiders were net buyers in OPENLANE, Inc.'s (NYSE:KAR ) during the past 12 months. That is, insiders acquired the stock in greater numbers than they sold it.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

View our latest analysis for OPENLANE

The Last 12 Months Of Insider Transactions At OPENLANE

Over the last year, we can see that the biggest insider purchase was by CEO & Director Peter Kelly for US$508k worth of shares, at about US$14.98 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$16.72. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.

Insiders At OPENLANE Have Sold Stock Recently

Over the last three months, we've seen significant insider selling at OPENLANE. In total, Executive VP & President of North American Marketplaces James Coyle sold US$109k worth of shares in that time, and we didn't record any purchases whatsoever. In light of this it's hard to argue that all the insiders think that the shares are a bargain.

Does OPENLANE Boast High 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. We usually like to see fairly high levels of insider ownership. Insiders own 2.1% of OPENLANE shares, worth about US$38m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Does This Data Suggest About OPENLANE Insiders?

An insider sold OPENLANE shares recently, but they didn't buy any. On the other hand, the insider transactions over the last year are encouraging. We like that insiders own a fair amount of the company. So we're happy enough to look past some selling. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Case in point: We've spotted 1 warning sign for OPENLANE you should be aware of.