Whilst it may not be a huge deal, we thought it was good to see that the Suncorp Group Limited (ASX:SUN) Non Executive Director, Ian Hammond, recently bought AU$68k worth of stock, for AU$13.50 per share. While we’re hesitant to get too excited about a purchase of that size, we do note it increased their holding by a solid 26.2%.
Suncorp Group Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when Chairman of the Board Christine McLoughlin bought AU$348k worth of shares at a price of AU$14.50 per share. That means that an insider was happy to buy shares at above the current price of AU$13.38. 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. To us, it’s very important to consider the price insiders pay for shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.
Happily, we note that in the last year insiders bought 63900 shares for a total of AU$895k. While Suncorp Group insiders bought shares last year, they didn’t sell. You can see a visual depiction of insider transactions (by 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!
Insider Ownership of Suncorp Group
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it’s a good sign if insiders own a significant number of shares in the company. From our data, it seems that Suncorp Group insiders own 0.05% of the company, worth about AU$9.7m. We do generally prefer see higher levels of insider ownership.
So What Do The Suncorp Group Insider Transactions Indicate?
It’s certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Suncorp Group insiders are expecting a bright future. Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for Suncorp Group.
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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If you spot an error that warrants correction, please contact the editor at email@example.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.