Matthew A LegalChief Account Officer target On Aug. 22, TGT reported a large insider sale, according to a new SEC filing.
What happened: A Form 4 filed by the US Securities and Exchange Commission on Monday showed Legal sold 1,226 shares. targetThe total transaction amount was $213,084.
target Shares are trading down 0.67% at $160.87 at the time of writing Tuesday morning.
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Importance of Insider Transactions
Insider trading should not be used primarily to make an investment decision, although an insider transaction can be an important factor in an investment decision.
Any shareholder who holds at least 10% of a company is legally referred to as an “insider”. This could include executives in the C-suite and large hedge funds. These insiders must disclose their transactions to the public through a Form 4 filing, which must be filed within two business days of the transaction.
When a company insider makes new purchases, it’s a sign they expect the stock to go up.
On the other hand, inside sales can be made for a variety of reasons and don’t necessarily mean the seller thinks the stock will go down.
To focus on the transaction code
Investors prefer to focus on open market transactions as indicated in Table I of the Form 4 filing. a P Field 3 indicates the purchase while s Represents sales. Transaction code C Displays the conversion of an option and the transaction code a Indicates that the insider may have been forced to sell the shares in order to receive the compensation promised by the company being leased.
View Target’s full list of insider trading.
This article was created by Benzinga’s Automated Content Engine and is editor-reviewed.