Whilst it may not be a huge deal, we thought it was good to see that the Academies Australasia Group Limited (ASX:AKG) Non-Executive Chairman, John Schlederer, recently bought AU$111k worth of stock, for AU$0.26 per share. However, it only increased their shares held by 3.5%, and it wasn't a huge purchase by absolute value, either.
Academies Australasia Group Insider Transactions Over The Last Year
In fact, the recent purchase by Non-Executive Chairman John Schlederer was not their only acquisition of Academies Australasia Group shares this year. Earlier in the year, they paid AU$0.30 per share in a AU$117k purchase. So it's clear an insider wanted to buy, even at a higher price than the current share price (being AU$0.24). 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. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.
Academies Australasia Group insiders may have bought shares in the last year, but they didn't sell any. 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!
There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).
Insider Ownership of Academies Australasia Group
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. It's great to see that Academies Australasia Group insiders own 84% of the company, worth about AU$26m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Do The Academies Australasia Group Insider Transactions Indicate?
It's certainly positive to see the recent insider purchases. We also take confidence from the longer term picture of insider transactions. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Academies Australasia Group. That's what I like to see! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Academies Australasia Group. At Simply Wall St, we found 1 warning sign for Academies Australasia Group that deserve your attention before buying any shares.
Of course Academies Australasia Group 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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.