Yahoo Finance A MyDeal.com.au Limited (ASX:MYD) insider increased their holdings by 14% last year
Insiders were net buyers of MyDeal.com.au Limited's (ASX:MYD ) stock during the past year. That is, insiders bought more stock than they sold.
While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.
View our latest analysis for MyDeal.com.au
The Last 12 Months Of Insider Transactions At MyDeal.com.au
In the last twelve months, the biggest single purchase by an insider was when Independent Non-Executive Chairman Paul Greenberg bought AU$259k worth of shares at a price of AU$1.30 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being AU$0.78). 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. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. Paul Greenberg was the only individual insider to buy shares in the last twelve months.
Paul Greenberg purchased 300.00k shares over the year. The average price per share was AU$1.23. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
MyDeal.com.au is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
Insider Ownership of MyDeal.com.au
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. MyDeal.com.au insiders own about AU$106m worth of shares (which is 52% of the company). Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
So What Do The MyDeal.com.au Insider Transactions Indicate?
The fact that there have been no MyDeal.com.au insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. It would be great to see more insider buying, but overall it seems like MyDeal.com.au insiders are reasonably well aligned (owning significant chunk of the company's shares) and optimistic for the future. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. To assist with this, we've discovered 1 warning sign that you should run your eye over to get a better picture of MyDeal.com.au.
Of course MyDeal.com.au may not be the best stock to buy. So you may wish to see this free collection of high quality 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.
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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