NextEra Energy, Inc. (NYSE:NEE) shareholders (or potential shareholders) will be happy to see that insider David Porges recently bought a whopping US$827k worth of stock, at a price of US$276. That purchase boosted their holding by 458%, which makes us wonder if the move was inspired by quietly confident deeply-felt optimism.
NextEra Energy Insider Transactions Over The Last Year
In fact, the recent purchase by David Porges was the biggest purchase of NextEra Energy shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at above the current price of US$275. 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. In our view, the price an insider pays for shares is very important. 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. The only individual insider to buy over the last year was David Porges.
You can see the insider transactions (by individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
NextEra Energy is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Does NextEra Energy Boast High Insider Ownership?
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. NextEra Energy insiders own about US$262m worth of shares (which is 0.2% 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.
So What Do The NextEra Energy Insider Transactions Indicate?
It is good to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. When combined with notable insider ownership, these factors suggest NextEra Energy insiders are well aligned, and quite possibly think the share price is too low. That’s what I like to see! Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for NextEra Energy.
If you would prefer to check out another company — one with potentially superior financials — then do not miss this free list of interesting companies, that have HIGH return on equity 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.
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