Non-Executive Chairman Brian Austin Just Bought Shares In PSC Insurance Group Limited (ASX:PSI)

Whilst it may not be a huge deal, we thought it was good to see that the PSC Insurance Group Limited (ASX:PSI) Non-Executive Chairman, Brian Austin, recently bought AU$53k worth of stock, for AU$2.63 per share. That might not be a big purchase but it only increased their holding by 0.06%, and could be interpreted as a good sign.

Check out our latest analysis for PSC Insurance Group

The Last 12 Months Of Insider Transactions At PSC Insurance Group

Over the last year, we can see that the biggest insider sale was by the Executive Deputy Chairman, Paul Dwyer, for AU$10m worth of shares, at about AU$2.50 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of AU$2.71. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. However, while insider selling is sometimes discouraging, it's only a weak signal. This single sale was just 6% of Paul Dwyer's stake. Paul Dwyer was the only individual insider to sell over the last year.

The chart below shows insider transactions (by individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

Does PSC Insurance 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. I reckon it's a good sign if insiders own a significant number of shares in the company. PSC Insurance Group insiders own 56% of the company, currently worth about AU$399m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Do The PSC Insurance Group Insider Transactions Indicate?

It is good to see the recent insider purchase. However, the longer term transactions are not so encouraging. The recent buying by an insider, along with high insider ownership, suggest that PSC Insurance Group insiders are fairly aligned, and optimistic. If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.

Of course PSC Insurance Group may not be the best stock to buy. So you may wish to see this free collection of high quality 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, but not derivative transactions.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.