Insider Returns Down To CA$15k As RF Capital Group's Stock Dips 10%

RF Capital Group Inc. (TSE:RCG) insiders who acquired shares over the previous 12 months, can probably afford to ignore the recent 10% decline in the stock price. After accounting for the recent loss, the CA$73.0k worth of shares they purchased is now worth CA$87.9k, suggesting a good return on their investment.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

We've discovered 1 warning sign about RF Capital Group. View them for free.

The Last 12 Months Of Insider Transactions At RF Capital Group

Over the last year, we can see that the biggest insider purchase was by President David Kelly for CA$72k worth of shares, at about CA$7.30 per share. Even though the purchase was made at a significantly lower price than the recent price (CA$8.79), we still think insider buying is a positive. 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.

David Kelly bought 10.00k shares over the last 12 months at an average price of CA$7.30. 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!

See our latest analysis for RF Capital Group

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

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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Our data suggests RF Capital Group insiders own 0.9% of the company, worth about CA$1.4m. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. I generally like to see higher levels of ownership.

So What Do The RF Capital Group Insider Transactions Indicate?

There haven't been any insider transactions in the last three months -- that doesn't mean much. On a brighter note, the transactions over the last year are encouraging. The transactions are fine but it'd be more encouraging if RF Capital Group insiders bought more shares in the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing RF Capital Group. At Simply Wall St, we found 1 warning sign for RF Capital Group that deserve your attention before buying any shares.

Of course RF Capital 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 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.