Independent Non-Executive Chairman of Genetic Technologies Peter Rubinstein Buys 20% More Shares

Whilst it may not be a huge deal, we thought it was good to see that the Genetic Technologies Limited (ASX:GTG) Independent Non-Executive Chairman, Peter Rubinstein, recently bought AU$80k worth of stock, for AU$0.13 per share. While we're hesitant to get too excited about a purchase of that size, we do note it increased their holding by a solid 20%.

View our latest analysis for Genetic Technologies

The Last 12 Months Of Insider Transactions At Genetic Technologies

Notably, that recent purchase by Peter Rubinstein is the biggest insider purchase of Genetic Technologies shares that we've seen in the last year. That implies that an insider found the current price of AU$0.14 per share to be enticing. 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. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the Genetic Technologies insider decided to buy shares at close to current prices. Peter Rubinstein 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. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Does Genetic Technologies Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 8.7% of Genetic Technologies shares, worth about AU$1.4m, according to our data. Whilst better than nothing, we're not overly impressed by these holdings.

So What Do The Genetic Technologies Insider Transactions Indicate?

The recent insider purchase is heartening. And the longer term insider transactions also give us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on Genetic Technologies stock. 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. For instance, we've identified 4 warning signs for Genetic Technologies (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.