Finexia Financial Group Reaches AU$19m Market Cap Benefiting Insider Stock Buying

Finexia Financial Group Limited (ASX:FNX) insiders who bought shares over the past year were rewarded handsomely last week. The stock rose 13%, resulting in a AU$2.1m rise in the company's market capitalisation, translating to a gain of 32% on their initial investment. Put another way, the original AU$476.0k acquisition is now worth AU$630.0k.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Finexia Financial Group

The Last 12 Months Of Insider Transactions At Finexia Financial Group

In the last twelve months, the biggest single purchase by an insider was when insider Glenn Molloy bought AU$360k worth of shares at a price of AU$0.24 per share. We do like to see buying, but this purchase was made at well below the current price of AU$0.32. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

In the last twelve months Finexia Financial Group insiders were buying shares, but not selling. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

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.

Does Finexia Financial Group Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Finexia Financial Group insiders own about AU$5.5m 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 Finexia Financial Group Insider Transactions Indicate?

It doesn't really mean much that no insider has traded Finexia Financial Group shares in the last quarter. However, our analysis of transactions over the last year is heartening. Insiders do have a stake in Finexia Financial Group and their transactions don't cause us concern. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. When we did our research, we found 6 warning signs for Finexia Financial Group (1 doesn't sit too well with us!) that we believe deserve your full attention.

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 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.