Ken Fisher believes that the recent correction is likely to continue even though it will be “over as fast as it began”. What if the recent pullback is set to continue as Fisher suggests? Some corporate insiders might have got a little nervous about the current turmoil, which could make them think that their companies will have a hard time going through a potential longer-than-expected “mini-crash”. Stock markets have experienced two serious pullbacks in August, and the fact that insiders are selling after the second pullback might represent a warning flag. In the following article, we will be discussing three companies that saw insiders sell their shares recently. Specifically, we will take a look at the insider selling activity at Village Super Market Inc. (NASDAQ:VLGEA), Syntel Inc. (NASDAQ:SYNT), and RigNet Inc. (NASDAQ:RNET).
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The Estate of Perry Sumas, an insider of Village Super Market Inc. (NASDAQ:VLGEA), has been gradually reducing its stake in the company over the last few months. On September 2, Estate of Perry Sumas offloaded 2,400 shares of Village Super Market at a price of $27.19 per share, trimming its stake to 887,233 shares. However, it is highly unlikely that the recent insider selling activity is somewhat related to the current turmoil in financial markets. The shares of Village Super Market are currently trading at the same level as they were trading throughout this year, so it seems that the Estate is simply trying liquidating the position. Just recently, the company that operates a chain of supermarkets in the U.S. announced the authorization of a share repurchase program of up to $5 million. From the massive pool of investors tracked by Insider Monkey, Chuck Royce’s Royce & Associates is the top shareholder of Village Super Market Inc. (NASDAQ:VLGEA), holding 1.24 million shares as of June 30.