Anthony Abrahams Buys Handful Of Shares In Ai-Media Technologies

Potential Ai-Media Technologies Limited (ASX:AIM) shareholders may wish to note that the Co-Founder, Anthony Abrahams, recently bought AU$200k worth of stock, paying AU$0.80 for each share. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.

Check out our latest analysis for Ai-Media Technologies

Ai-Media Technologies Insider Transactions Over The Last Year

Notably, that recent purchase by Co-Founder Anthony Abrahams was not the only time they bought Ai-Media Technologies shares this year. Earlier in the year, they paid AU$0.31 per share in a AU$1.6m purchase. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of AU$0.84. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Anthony Abrahams bought a total of 10.25m shares over the year at an average price of AU$0.32. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart 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 undervalued small cap companies that insiders are buying.

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. Ai-Media Technologies insiders own about AU$51m worth of shares. That equates to 29% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The Ai-Media Technologies Insider Transactions Indicate?

It's certainly positive to see the recent insider purchase. And the longer term insider transactions also give us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. When combined with notable insider ownership, these factors suggest Ai-Media Technologies insiders are well aligned, and that they may think the share price is too low. If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.

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 of direct interests only, but not derivative transactions or indirect interests.

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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.