Accent Group share price lower after insider sells $2 million of shares

The Accent Group Ltd (ASX:AX1) share price has come under pressure after an insider sold $2 million of shares…

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Accent Group Ltd (ASX: AX1) share price has dropped lower on Wednesday.

At the time of writing the footwear-focused retailer's shares are down 4% to $1.65.

Why is the Accent Group share price tumbling lower today?

One catalyst for today's decline is the fact that Accent Group's shares are trading ex-dividend this morning for its final dividend.

When a share trades ex-dividend it means that buyers of its shares will not be entitled to the latest dividend. In light of this, the buy price will almost always drop by the value of the upcoming dividend.

In the case of Accent Group, this was a 3.75 cents per share fully franked final dividend which will now be paid to eligible shareholders on September 26.

In addition to this, news of insider selling appears to be weighing on investor sentiment this morning.

According to a change of director's interest notice, long-standing non-executive director Michael Hopwood has sold a large number of shares through a series of on-market trades.

Mr Hopwood offloaded 286,134 shares for an average of $1.62 per share on September 5, a further 589,616 shares for an average of $1.64 per share on September 6, and finally 368,036 shares for an average of $1.73 per share on September 9.

In total the director sold 1,243,786 at an average of $1.662 per share or a total consideration of ~$2.07 million.

Whilst this is disappointing, it is worth noting that Mr Hopwood still has a considerable holding of 12,756,214 shares, which would appear to indicate that his interests remain firmly in line with the company's shareholders.       

Elsewhere, one of the directors of Telstra Corporation Ltd (ASX: TLS) has been buying shares on-market recently. Roy Chestnutt picked up 27,000 of the telco giant's shares for a total of $97,051.50 through an on-market trade on September 5. It appears as though Mr Chestnutt is confident in the company's outlook and has been topping up his holding after a spot of share price weakness.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Telstra Limited. The Motley Fool Australia has recommended Accent Group. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Fallers

A young man clasps his hand to his head with his eyes closed and a pained expression on his face as he clasps a laptop computer in front of him, seemingly learning of bad news or a poor investment.
Share Fallers

Why Burgundy Diamond Mines, Clarity Pharmaceuticals, EML, and Zip are sinking today

These ASX shares are ending the week in the red. But why?

Read more »

A worried man holds his head and look at his computer.
Share Fallers

Why 29Metals, Brainchip, Platinum, and Premier Investments shares are falling today

These ASX shares are having a tough time on hump day.

Read more »

Man with his head in his head because of falling share price.
Share Fallers

Why 29Metals, Atlas Arteria, IDP Education, and Mineral Resources shares are falling

These ASX shares are having a tough time on Tuesday. But why?

Read more »

A man sits in despair at his computer with his hands either side of his head, staring into the screen with a pained and anguished look on his face, in a home office setting.
Share Fallers

Why ALS, EOS, NRW, and Patriot Battery Metals are dropping today

These ASX shares are starting the week in the red.

Read more »

A man looking at his laptop and thinking.
Technology Shares

Why are these ASX tech shares getting smashed today?

Owners of these two stocks are missing out today.

Read more »

a man weraing a suit sits nervously at his laptop computer biting into his clenched hand with nerves, and perhaps fear.
Share Fallers

Why AGL, Brickworks, IGO, and New Hope shares are dropping today

These ASX shares are having a poor session. But why?

Read more »

Frustrated stock trader screaming while looking at mobile phone, symbolising a falling share price.
Share Fallers

Why Amcor, Arafura, Brainchip, and South32 shares are tumbling today

These ASX shares are having a tough time on hump day. But why?

Read more »

A young woman holds an open book over her head with a round mouthed expression as if to say oops as she looks at her computer screen in a home office setting with a plant on the desk and shelves of books in the background.
Share Fallers

Why Aussie Broadband, Liontown, Metals Acquisition, and Seek shares are falling

These ASX shares are having a poor session. But why?

Read more »