Fluence Non- Executive Director Acquires 5.8% More Stock

Investors who take an interest in Fluence Corporation Limited (ASX:FLC) should definitely note that the Non- Executive Director, Nikolaus Egon Oldendorff, recently paid AU$0.042 per share to buy AU$283k worth of the stock. While that's a very decent purchase to our minds, it was proportionally a bit modest, boosting their holding by just 5.8%.

Our free stock report includes 3 warning signs investors should be aware of before investing in Fluence. Read for free now.

Fluence Insider Transactions Over The Last Year

The Chairman & Strategic Board Advisor Douglas Brown made the biggest insider purchase in the last 12 months. That single transaction was for AU$322k worth of shares at a price of AU$0.06 each. That means that an insider was happy to buy shares at above the current price of AU$0.04. 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. We always take careful note of the price insiders pay when purchasing shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.

Fluence insiders may have bought shares in the last year, but they didn't sell any. Their average price was about AU$0.053. This is nice to see since it implies that insiders might see value around current prices. 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!

See our latest analysis for Fluence

Fluence 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 Fluence Boast High Insider Ownership?

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. We usually like to see fairly high levels of insider ownership. It appears that Fluence insiders own 32% of the company, worth about AU$14m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Do The Fluence Insider Transactions Indicate?

The recent insider purchase is heartening. And an analysis of the transactions over the last year also gives us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Insiders likely see value in Fluence shares, given these transactions (along with notable insider ownership of the company). While it's good to be aware of 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. Be aware that Fluence is showing 3 warning signs in our investment analysis, and 1 of those is significant...

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.