Yahoo Finance Brady Corporation (NYSE:BRC) may have lost US$207m in value but insiders who invested last year have seen gains of around US$2.0k to date
Insiders who bought Brady Corporation (NYSE:BRC) stock lover the last 12 months are probably not as affected by last week’s 8.4% loss. Reason being, despite the recent loss, insiders original purchase value of US$435k is now worth US$437k.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.
Check out our latest analysis for Brady
Brady Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when President Russell Shaller bought US$435k worth of shares at a price of US$43.50 per share. That implies that an insider found the current price of US$43.70 per share to be enticing. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. The good news for Brady share holders is that an insider was buying at near the current price. The only individual insider to buy over the last year was Russell Shaller.
You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Brady is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership of Brady
For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. Brady insiders own about US$215m worth of shares (which is 9.5% of the company). 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 Brady Tell Us?
It is good to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Brady. Nice! Of course, the future is what matters most. So if you are interested in Brady, you should check out this free report on analyst forecasts for the company.
But note: Brady may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
