FleetPartners Group Reaches AU$681m Market Cap Benefiting Insider Stock Buying

FleetPartners Group Limited (ASX:FPR) insiders who bought shares over the past year were rewarded handsomely last week. The stock rose 14%, resulting in a AU$82m rise in the company's market capitalisation, translating to a gain of 42% on their initial investment. Put another way, the original AU$232.9k acquisition is now worth AU$329.7k.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

See our latest analysis for FleetPartners Group

The Last 12 Months Of Insider Transactions At FleetPartners Group

In the last twelve months, the biggest single purchase by an insider was when Independent Non-Executive Director Russell Shields bought AU$97k worth of shares at a price of AU$1.95 per share. We do like to see buying, but this purchase was made at well below the current price of AU$2.74. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

While FleetPartners Group insiders bought shares during the last year, they didn't sell. 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!

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insider Ownership Of FleetPartners Group

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with 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. Based on our data, FleetPartners Group insiders have about 1.0% of the stock, worth approximately AU$6.7m. I generally like to see higher levels of ownership.

What Might The Insider Transactions At FleetPartners Group Tell Us?

It doesn't really mean much that no insider has traded FleetPartners Group shares in the last quarter. However, our analysis of transactions over the last year is heartening. While we have no worries about the insider transactions, we'd be more comfortable if they owned more FleetPartners Group stock. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. For instance, we've identified 2 warning signs for FleetPartners Group (1 is a bit unpleasant) you should be aware of.

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.