Looking at MetLife, Inc.'s (NYSE:MET ) insider transactions over the last year, we can see that insiders were net sellers. That is, there were more number of shares sold by insiders than there were purchased.

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.

Check out our latest analysis for MetLife

MetLife Insider Transactions Over The Last Year

The Executive VP and Head of Global Technology & Operations, Bill Pappas, made the biggest insider sale in the last 12 months. That single transaction was for US$2.0m worth of shares at a price of US$72.27 each. So it's clear an insider wanted to take some cash off the table, even below the current price of US$82.48. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. This single sale was just 32% of Bill Pappas's stake. The only individual insider seller over the last year was Bill Pappas.

You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

If you are like me, then you will not want to miss this free list of small cap stocks that are not only being bought by insiders but also have attractive valuations.

Insider Ownership

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. It's great to see that MetLife insiders own 0.2% of the company, worth about US$132m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At MetLife Tell Us?

The fact that there have been no MetLife insider transactions recently certainly doesn't bother us. It's heartening that insiders own plenty of stock, but we'd like to see more insider buying, since the last year of MetLife insider transactions don't fill us with confidence. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For example - MetLife has 1 warning sign we think you should be aware of.