Stock Analysis

Megan Wynne Buys Handful Of Shares In APM Human Services International

Published
ASX:APM

Those following along with APM Human Services International Limited (ASX:APM) will no doubt be intrigued by the recent purchase of shares by Megan Wynne, Founder & Executive Chairman of the company, who spent a stonking AU$2.3m on stock at an average price of AU$1.51. While that only increased their holding size by 0.7%, it is still a big swing by our standards.

Check out our latest analysis for APM Human Services International

The Last 12 Months Of Insider Transactions At APM Human Services International

Notably, that recent purchase by Megan Wynne is the biggest insider purchase of APM Human Services International shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of AU$1.53. 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 APM Human Services International share holders is that insiders were buying at near the current price.

APM Human Services International insiders may have bought shares in the last year, but they didn't sell any. The average buy price was around AU$1.81. These transactions suggest that insiders have considered the current price attractive. You can see the insider transactions (by companies and 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!

ASX:APM Insider Trading Volume November 17th 2023

APM Human Services International 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.

Insider Ownership

Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It's great to see that APM Human Services International insiders own 27% of the company, worth about AU$383m. 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 APM Human Services International Insider Transactions Indicate?

It's certainly positive to see the recent insider purchases. We also take confidence from the longer term picture of insider transactions. When combined with notable insider ownership, these factors suggest APM Human Services International insiders are well aligned, and quite possibly think the share price is too low. Nice! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. You'd be interested to know, that we found 2 warning signs for APM Human Services International and we suggest you have a look.

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.

New: Manage All Your Stock Portfolios in One Place

We've created the ultimate portfolio companion for stock investors, and it's free.

• Connect an unlimited number of Portfolios and see your total in one currency
• Be alerted to new Warning Signs or Risks via email or mobile
• Track the Fair Value of your stocks

Try a Demo Portfolio for Free

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.