Lorne Jacobson Is The Independent Chairman of the Board of Nexus Real Estate Investment Trust (CVE:NXR.UN) And They Just Spent CA$76k On Shares

Even if it's not a huge purchase, we think it was good to see that Lorne Jacobson, the Independent Chairman of the Board of Nexus Real Estate Investment Trust (CVE:NXR.UN) recently shelled out CA$76k to buy stock, at CA$1.52 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 10%.

See our latest analysis for Nexus Real Estate Investment Trust

Nexus Real Estate Investment Trust Insider Transactions Over The Last Year

In fact, the recent purchase by Independent Chairman of the Board Lorne Jacobson was not their only acquisition of Nexus Real Estate Investment Trust shares this year. Earlier in the year, they paid CA$1.97 per share in a CA$197k purchase. That means that an insider was happy to buy shares at above the current price of CA$1.44. It's very possible they regret the purchase, but it's more likely they are bullish about the company. To us, it's very important to consider the price insiders pay for shares is very important. 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.

Nexus Real Estate Investment Trust insiders may have bought shares in the last year, but they didn't sell any. The chart below shows insider transactions (by individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Nexus Real Estate Investment Trust is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Does Nexus Real Estate Investment Trust Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Based on our data, Nexus Real Estate Investment Trust insiders have about 1.6% of the stock, worth approximately CA$2.9m. We prefer to see high levels of insider ownership.

So What Do The Nexus Real Estate Investment Trust Insider Transactions Indicate?

The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. 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 Nexus Real Estate Investment Trust 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. You'd be interested to know, that we found 4 warning signs for Nexus Real Estate Investment Trust and we suggest you have a look.

Of course Nexus Real Estate Investment Trust 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.

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.

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. Thank you for reading.