Insider Buying: Monash IVF Group Independent Non-Executive Director Bought AU$93k Of Shares

Even if it's not a huge purchase, we think it was good to see that Catherine Aston, the Independent Non-Executive Director of Monash IVF Group Limited (ASX:MVF) recently shelled out AU$93k to buy stock, at AU$1.21 per share. Nevertheless, it only increased their shareholding by a minuscule percentage, and it wasn't a massive purchase by absolute value, either.

Check out our latest analysis for Monash IVF Group

The Last 12 Months Of Insider Transactions At Monash IVF Group

In fact, the recent purchase by Catherine Aston was the biggest purchase of Monash IVF Group shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, even at a higher price than the current share price (being AU$1.19). It's very possible they regret the purchase, but it's more likely they are bullish about the company. In our view, the price an insider pays for shares is very important. As a general rule, we feel more positive about a stock when an insider has bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price. Catherine Aston was the only individual insider to buy shares in the last twelve months.

You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

Monash IVF Group is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Does Monash IVF Group Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. From looking at our data, insiders own AU$5.8m worth of Monash IVF Group stock, about 1.2% of the company. I generally like to see higher levels of ownership.

What Might The Insider Transactions At Monash IVF Group Tell Us?

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. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that Monash IVF Group insiders are reasonably well aligned, and optimistic for the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Monash IVF Group. In terms of investment risks, we've identified 1 warning sign with Monash IVF Group and understanding it should be part of your investment process.

But note: Monash IVF Group 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.