Insiders Buying Cybeats Technologies Might Wish They Invested More, Stock Gains 19%

Cybeats Technologies Corp. (CSE:CYBT) insiders who purchased shares in the last 12 months were richly rewarded last week. The stock climbed by 19% resulting in a CA$3.5m addition to the company’s market value. As a result, their original purchase of CA$205.0k worth of stock is now worth CA$259.7k.

Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

View our latest analysis for Cybeats Technologies

Cybeats Technologies Insider Transactions Over The Last Year

The Chief Financial Officer Josh Bald made the biggest insider purchase in the last 12 months. That single transaction was for CA$105k worth of shares at a price of CA$0.15 each. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of CA$0.19. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.

Happily, we note that in the last year insiders paid CA$205k for 1.37m shares. But insiders sold 51.00k shares worth CA$35k. In total, Cybeats Technologies insiders bought more than they sold over the last year. 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 undervalued small cap companies that insiders are buying.

Does Cybeats Technologies 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. A high insider ownership often makes company leadership more mindful of shareholder interests. From looking at our data, insiders own CA$701k worth of Cybeats Technologies stock, about 3.1% of the company. We prefer to see high levels of insider ownership.

What Might The Insider Transactions At Cybeats Technologies Tell Us?

The fact that there have been no Cybeats Technologies insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. The transactions are fine but it'd be more encouraging if Cybeats Technologies insiders bought more shares in the company. 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. Case in point: We've spotted 6 warning signs for Cybeats Technologies you should be aware of, and 2 of these can't be ignored.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com