Yahoo Finance Trade Alert: Bryan Glinton At Australian Agricultural Company Limited (ASX:AAC), Has Just Spent AU$23m Buying 4.2% More Shares
Australian Agricultural Company Limited (ASX:AAC) shareholders (or potential shareholders) will be happy to see that insider Bryan Glinton recently bought a whopping AU$23m worth of stock, at a price of AU$1.91. While that only increased their holding size by 4.2%, it is still a big swing by our standards.
See our latest analysis for Australian Agricultural
The Last 12 Months Of Insider Transactions At Australian Agricultural
Over the last year, we can see that the biggest insider purchase was by insider John Andrew Forrest for AU$35m worth of shares, at about AU$1.11 per share. Even though the purchase was made at a significantly lower price than the recent price (AU$1.92), we still think insider buying is a positive. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
Australian Agricultural insiders may have bought shares in the last year, but they didn't sell any. The average buy price was around AU$1.50. It is certainly positive to see that insiders have invested their own money in the company. However, you should keep in mind that they bought when the share price was meaningfully below today's levels. 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!
Australian Agricultural 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.
Does Australian Agricultural Boast High Insider Ownership?
For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Australian Agricultural insiders own about AU$770m worth of shares (which is 67% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
What Might The Insider Transactions At Australian Agricultural Tell Us?
It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Australian Agricultural. One for the watchlist, at least! While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. At Simply Wall St, we've found that Australian Agricultural has 2 warning signs (1 is concerning!) that deserve your attention before going any further with your analysis.
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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