CFO, Group Finance Director & Director of Mattioli Woods Picks Up 94% More Stock

Investors who take an interest in Mattioli Woods plc (LON:MTW) should definitely note that the CFO, Group Finance Director & Director, Ravi Tara, recently paid UK£5.80 per share to buy UK£87k worth of the stock. We reckon that's a good sign, especially since the purchase boosted their holding by 94%.

View our latest analysis for Mattioli Woods

Mattioli Woods Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when Co-Founder Ian Mattioli bought UK£198k worth of shares at a price of UK£5.48 per share. That implies that an insider found the current price of UK£5.60 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. In this case we're pleased to report that the insider purchases were made at close to current prices.

In the last twelve months insiders purchased 86.86k shares for UK£498k. On the other hand they divested 29.64k shares, for UK£175k. In total, Mattioli Woods insiders bought more than they sold over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

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. It appears that Mattioli Woods insiders own 11% of the company, worth about UK£32m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

What Might The Insider Transactions At Mattioli Woods Tell Us?

The recent insider purchases are heartening. We also take confidence from the longer term picture of insider transactions. Given that insiders also own a fair bit of Mattioli Woods we think they are probably pretty confident of a bright future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. While conducting our analysis, we found that Mattioli Woods has 2 warning signs and it would be unwise to ignore them.

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.