Some directors of companies in the S&P/ASX 200 Index (ASX: XJO) have been busy selling shares this week.
It can be worth monitoring the activity of company insiders. After all, they should have better insights than the rest of us about the company's prospects.
But ultimately, director sales come in different shapes and sizes and there are many reasons why directors sell shares. So, I'd be using this information as just another piece of a much larger puzzle.
Let's check out three ASX 200 shares that have seen director selling this week.
Computershare Limited (ASX: CPU)
According to an ASX release yesterday, CEO Stuart Irving offloaded a total of 238,506 Computershare shares on market between 2 September and 5 September. These shares were sold for total consideration of $5.8 million, implying an average selling price of $24.22.
This could be putting downwards pressure on the Computershare share price today. Shares have slid 0.9% at the time of writing to $24.52.
According to the release, the sale was, in part, to satisfy withholding tax obligations arising from the vesting of shares through the company's employee incentive plans. The release further noted that Irving sold additional shares to fund a home purchase in the UK.
Irving retains 132,580 Computershare shares, currently worth around $3.3 million, and a further 653,000 performance and share appreciation rights.
Carsales.com Ltd (ASX: CAR)
Carsales has seen two changes in director's interest notices come through today relating to separate directors. While the ASX 200 is climbing 0.3%, the Carsales share price is driving 0.4% lower at the time of writing to $22.01.
First up, alternate non-executive director Steven Kloss offloaded 47,248 Carsales shares on the market on 2 September, pocketing $1.1 million in the process. No reasons were provided for the sale but its size is dwarfed by Kloss' remaining shareholding. He still holds 2.8 million shares in the company, worth around $62 million at current prices.
Non-executive director Walter Pisciotta has also been pressing the sell button, cashing in on 250,000 shares to the tune of $5.5 million. The sales were completed on the market at an average Carsales share price of $22.14. Similarly to Kloss, there was no explanation for the sale. But as the company's founding chair, Pisciotta still holds a monstrous 8.3 million Carsales shares, currently valued at roughly $183 million.
Allkem Ltd (ASX: AKE)
Director selling has continued for this ASX lithium share this week. Last week, we discovered that non-executive director Richard Seville had a $20 million payday, offloading 1.5 million shares.
This week, we've seen three changes in directors' interest notices at Allkem.
On Monday, it was revealed that non-executive chair Martin Rowley sold 76,038 shares on market, scooping up just over $1 million. Then, news came through yesterday that Rowley had sold a further 149,459 Allkem shares, pocketing an additional $2.1 million. No reasons were provided for either of these sales. But Rowley remains a notable shareholder, holding 2.6 million Allkem shares worth $40 million based on current prices.
During the week, we also learned that managing director and CEO Martin Solay had joined the selling party, unloading 190,148 Allkem shares on the market. The ASX release said the proceeds would go towards meeting tax obligations from the vesting of performance rights. Solay continues to hold 152,818 ordinary shares, valued at around $2.3 million, and a further 770,507 unlisted performance rights.
Despite these insider sales, the Allkem share price has jumped 16% this week, extending what's been a booming year for this ASX 200 lithium share.
