Insider Traders Lose UK£33k As Insig AI Drops

Insiders who bought UK£286.1k worth of Insig AI Plc's (LON:INSG) stock at an average buy price of UK£0.15 over the last year may be disappointed by the recent 16% decrease in the stock. Insiders buy with the expectation to see their investments rise in value over a period of time. However, recent losses have rendered their above investment worth UK£253.5k which is not ideal.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

View our latest analysis for Insig AI

Insig AI Insider Transactions Over The Last Year

The CEO & Executive Director Richard Bernstein made the biggest insider purchase in the last 12 months. That single transaction was for UK£100k worth of shares at a price of UK£0.20 each. So it's clear an insider wanted to buy, even at a higher price than the current share price (being UK£0.13). It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. 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.

In the last twelve months Insig AI insiders were buying shares, but not selling. Their average price was about UK£0.15. These transactions suggest that insiders have considered the current price attractive. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

Insig AI is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Does Insig AI Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. It's great to see that Insig AI insiders own 47% of the company, worth about UK£7.3m. 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 Insig AI Tell Us?

The fact that there have been no Insig AI insider transactions recently certainly doesn't bother us. But insiders have shown more of an appetite for the stock, over the last year. With high insider ownership and encouraging transactions, it seems like Insig AI insiders think the business has merit. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Insig AI. Case in point: We've spotted 5 warning signs for Insig AI you should be aware of, and 3 of these are concerning.

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.

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.