Yahoo Finance A Southern Cross Electrical Engineering Limited (ASX:SXE) insider increased their holdings by 8.2% last year
Viewing insider transactions for Southern Cross Electrical Engineering Limited's (ASX:SXE ) over the last year, we see that insiders were net buyers. This means that a larger number of shares were purchased by insiders in relation to shares sold.
Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.
View our latest analysis for Southern Cross Electrical Engineering
The Last 12 Months Of Insider Transactions At Southern Cross Electrical Engineering
In fact, the recent purchase by Karl Paganin was the biggest purchase of Southern Cross Electrical Engineering shares made by an insider individual in the last twelve months, according to our records. That implies that an insider found the current price of AU$0.66 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 Southern Cross Electrical Engineering share holders is that an insider was buying at near the current price. The only individual insider to buy over the last year was Karl Paganin.
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 plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Does Southern Cross Electrical Engineering Boast High Insider Ownership?
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 23% of Southern Cross Electrical Engineering shares, worth about AU$39m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
So What Do The Southern Cross Electrical Engineering Insider Transactions Indicate?
The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. Given that insiders also own a fair bit of Southern Cross Electrical Engineering we think they are probably pretty confident of a bright future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Southern Cross Electrical Engineering. You'd be interested to know, that we found 1 warning sign for Southern Cross Electrical Engineering and we suggest you have a look.
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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