Insider Buying: Oakley Capital Investments Co-Founder Bought UK£421k Of Shares

Those following along with Oakley Capital Investments Limited (LON:OCI) will no doubt be intrigued by the recent purchase of shares by Peter Adam Dubens, Co-Founder of the company, who spent a stonking UK£421k on stock at an average price of UK£4.97. There's no denying a buy of that magnitude suggests conviction in a brighter future, although we do note that proportionally it only increased their holding by 0.4%.

See our latest analysis for Oakley Capital Investments

Oakley Capital Investments Insider Transactions Over The Last Year

In fact, the recent purchase by Co-Founder Peter Adam Dubens was not their only acquisition of Oakley Capital Investments shares this year. Earlier in the year, they paid UK£4.49 per share in a UK£1.6m purchase. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of UK£5.02. 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.

In the last twelve months Oakley Capital Investments insiders were buying shares, but not selling. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

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.

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. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Oakley Capital Investments insiders own 12% of the company, worth about UK£110m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Do The Oakley Capital Investments Insider Transactions Indicate?

The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Oakley Capital Investments. That's what I like to see! While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. To assist with this, we've discovered 2 warning signs that you should run your eye over to get a better picture of Oakley Capital Investments.

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.