Corporate Travel Management Insiders Added AU$1.66m Of Stock To Their Holdings

In the last year, multiple insiders have substantially increased their holdings of Corporate Travel Management Limited (ASX:CTD) stock, indicating that insiders' optimism about the company's prospects has increased.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

Check out our latest analysis for Corporate Travel Management

The Last 12 Months Of Insider Transactions At Corporate Travel Management

Over the last year, we can see that the biggest insider purchase was by MD & Executive Director Jamie Pherous for AU$1.4m worth of shares, at about AU$15.98 per share. That means that an insider was happy to buy shares at above the current price of AU$12.97. 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. We always take careful note of the price insiders pay when purchasing 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.

Corporate Travel Management insiders may have bought shares in the last year, but they didn't sell any. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

Corporate Travel Management is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.

Corporate Travel Management Insiders Bought Stock Recently

Over the last three months, we've seen a bit of insider buying at Corporate Travel Management. Insiders purchased AU$27k worth of shares in that period. We like it when there are only buyers, and no sellers. However, in this case the amount invested recently is quite small.

Insider Ownership Of Corporate Travel Management

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Corporate Travel Management insiders own 14% of the company, worth about AU$250m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Do The Corporate Travel Management Insider Transactions Indicate?

We note a that there has been a bit of insider buying recently (but no selling). The net investment is not enough to encourage us much. However, our analysis of transactions over the last year is heartening. Judging from their transactions, and high insider ownership, Corporate Travel Management insiders feel good about the company's future. Of course, the future is what matters most. So if you are interested in Corporate Travel Management, you should check out this free report on analyst forecasts for the company.

But note: Corporate Travel Management may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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.