Insider Buying: The Aurizon Holdings Limited (ASX:AZJ) Independent Chairman Just Bought 39% More Shares
Potential Aurizon Holdings Limited (ASX:AZJ) shareholders may wish to note that the Independent Chairman, Timothy Poole, recently bought AU$228k worth of stock, paying AU$3.26 for each share. That's a very decent purchase to our minds and it grew their holding by a solid 39%.
See our latest analysis for Aurizon Holdings
Aurizon Holdings Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when MD, CEO & Director Andrew Harding bought AU$884k worth of shares at a price of AU$3.85 per share. That means that an insider was happy to buy shares at above the current price of AU$3.30. Their view may have changed since then, but at least it shows they felt optimistic at the time. In our view, the price an insider pays for shares is very important. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. We note that Andrew Harding was both the biggest buyer and the biggest seller.
Happily, we note that in the last year insiders paid AU$2.0m for 549.49k shares. But they sold 459.91k shares for AU$1.7m. In the last twelve months there was more buying than selling by Aurizon Holdings insiders. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Aurizon Holdings is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Does Aurizon Holdings Boast High Insider Ownership?
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. Insiders own 0.2% of Aurizon Holdings shares, worth about AU$11m, according to our data. Whilst better than nothing, we're not overly impressed by these holdings.
So What Do The Aurizon Holdings Insider Transactions Indicate?
It is good to see recent purchasing. We also take confidence from the longer term picture of insider transactions. When combined with notable insider ownership, these factors suggest Aurizon Holdings insiders are well aligned, and that they may think the share price is too low. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Be aware that Aurizon Holdings is showing 3 warning signs in our investment analysis, and 1 of those is significant...
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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.
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