The Johns Lyng Group Ltd (ASX: JLG) share price is plummeting on Tuesday after the company revealed a director had offloaded four million of its shares.
Lindsay Barber, who is both the S&P/ASX 200 Index (ASX: XJO) company’s chief operating officer and one of its directors, sold the parcel in a bid to diversify his personal portfolio.
As of Monday’s close, four million Johns Lyng shares would have been worth around $27.2 million. Though, the building services company didn’t reveal the amount Barber received from the sale.
The market is reacting poorly to news of the sale and an accompanying guidance update.
It’s bidding the Johns Lyng share price 13.22% lower to trade at $5.91 at the time of writing.
Let’s take a closer look at the latest from the ASX 200 industrials share.
ASX 200 share tumbles on insider selling
The Johns Lyng share price is suffering amid another bout of insider selling today.
Barber recently sold 31% of his personal stake in the company, retaining around 8,871,000 shares.
The company states the insider remains committed to his role and has vowed not to sell any more shares within the next 12 months.
It’s just the latest round of insider selling going down among Johns Lyng bigwigs.
Both Barber and managing director and CEO Scott Didier sold a million shares in May. Didier was later revealed to have offloaded another four million shares in October.
All sales were undergone for personal reasons. The former was a move to manage their portfolios while the latter was to finance Didier’s move to the US.
Reconfirmed guidance
Johns Lyng also reconfirmed its financial year 2023 guidance today. It still expects to post around $1 billion of sales revenue and $105 million of earnings before interest, tax, depreciation, and amortisation (EBITDA).
Today’s fall included, the Johns Lyng share price is down 33% year to date. It has also fallen 28% since this time last year.
Comparatively, the ASX 200 has dropped 7% year to date and 3% over the last 12 months.
