We’ve lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. On the other hand, we’d be remiss not to mention that insider sales have been known to precede tough periods for a business. So shareholders might well want to know whether insiders have been buying or selling shares in Artis Real Estate Investment Trust (TSE:AX.UN).
What Is Insider Buying?
It’s quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, most countries require that the company discloses such transactions to the market.
We don’t think shareholders should simply follow insider transactions. But equally, we would consider it foolish to ignore insider transactions altogether. For example, a Columbia University study found that ‘insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers’.
See our latest analysis for Artis Real Estate Investment Trust
The Last 12 Months Of Insider Transactions At Artis Real Estate Investment Trust
In the last twelve months, the biggest single purchase by an insider was when Ronald Joyce bought CA$4.0m worth of shares at a price of CA$9.91 per share. So it’s clear an insider wanted to buy, at around the current price. 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. Nonetheless, we consider it positive if insiders want to buy at around the current share price.
In the last twelve months insiders paid CA$8.8m for 814.46k shares purchased. In the last twelve months there was more buying than selling by Artis Real Estate Investment Trust insiders. The average buy price was around CA$10.85. These transactions show that insiders have confidence to invest their own money in the stock, albeit at slightly below the recent price of CA$10.95. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
If you like to buy stocks alongside management, then you might just love this free list of companies. (Hint: insiders have been buying them).
Insiders at Artis Real Estate Investment Trust Have Bought Stock Recently
It’s good to see that Artis Real Estate Investment Trust insiders have made notable investments in the company’s shares. Overall, 4 insiders shelled out CA$454k for shares in the company — and none sold. This makes one think the business has some good points.
Does Artis Real Estate Investment Trust Boast High Insider Ownership?
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. It’s great to see that Artis Real Estate Investment Trust insiders own 12% of the company, worth about CA$201m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
What Might The Insider Transactions At Artis Real Estate Investment Trust Tell Us?
It is good to see recent purchasing. And the longer term insider transactions also give us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Artis Real Estate Investment Trust. That’s what I like to see! Of course, the future is what matters most. So if you are interested in Artis Real Estate Investment Trust, you should check out this free report on analyst forecasts for the company.
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.
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.