How Much Are Técnicas Reunidas, S.A. (BME:TRE) Insiders Spending On Buying Shares?

We often see insiders buying up shares in companies that perform well over the long term. Unfortunately, there are also plenty of examples of share prices declining precipitously after insiders have sold shares. So shareholders might well want to know whether insiders have been buying or selling shares in Técnicas Reunidas, S.A. (BME:TRE).

Do Insider Transactions Matter?

It is perfectly legal for company insiders, including board members, to buy and sell stock in a company. 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. As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.'

Check out our latest analysis for Técnicas Reunidas

Técnicas Reunidas Insider Transactions Over The Last Year

Third Vice Chairman of the Board Fernando de Asúa Álvarez made the biggest insider purchase in the last 12 months. That single transaction was for €386k worth of shares at a price of €25.84 each. That implies that an insider found the current price of €26.80 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the Técnicas Reunidas insider decided to buy shares at close to current prices. The only individual insider to buy over the last year was Fernando de Asúa Álvarez. Notably Fernando de Asúa Álvarez was also the biggest seller, having sold €385k worth of shares.

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!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this freelist of growing companies that insiders are buying.

Does Técnicas Reunidas Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Our data suggests Técnicas Reunidas insiders own 0.2% of the company, worth about €2.2m. But they may have an indirect interest through a corporate structure that we haven't picked up on. I generally like to see higher levels of ownership.

So What Do The Técnicas Reunidas Insider Transactions Indicate?

The fact that there have been no Técnicas Reunidas insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. We'd like to see bigger individual holdings. However, we don't see anything to make us think Técnicas Reunidas insiders are doubting the company. Of course, the future is what matters most. So if you are interested in Técnicas Reunidas, you should check out this freereport on analyst forecasts for the company.

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

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