Yahoo Finance Peter Cumins Is The Executive Deputy Chairman of Cash Converters International Limited (ASX:CCV) And They Just Picked Up 5.7% More Shares
Whilst it may not be a huge deal, we thought it was good to see that the Cash Converters International Limited (ASX:CCV) Executive Deputy Chairman, Peter Cumins, recently bought AU$120k worth of stock, for AU$0.24 per share. However, it only increased their shares held by 5.7%, and it wasn't a huge purchase by absolute value, either.
See our latest analysis for Cash Converters International
Cash Converters International Insider Transactions Over The Last Year
Notably, that recent purchase by Peter Cumins is the biggest insider purchase of Cash Converters International shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of AU$0.24. Of course they may have changed their mind. But this suggests they are optimistic. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. The good news for Cash Converters International share holders is that insiders were buying at near the current price.
While Cash Converters International insiders bought shares during the last year, they didn't sell. 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!
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 Cash Converters International
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. Our data indicates that Cash Converters International insiders own about AU$9.5m worth of shares (which is 6.2% of the company). However, it's possible that insiders might have an indirect interest through a more complex structure. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!
So What Does This Data Suggest About Cash Converters International Insiders?
It's certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on Cash Converters International stock. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Cash Converters International. At Simply Wall St, we found 1 warning sign for Cash Converters International that deserve your attention before buying any shares.
But note: Cash Converters International 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.
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.
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