The CEO & Executive Director of Johnson Matthey Plc (LON:JMAT), Robert MacLeod, Just Bought 7.2% More Shares

November 26, 2019
  •  Updated
September 28, 2022
LSE:JMAT
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Potential Johnson Matthey Plc (LON:JMAT) shareholders may wish to note that the CEO & Executive Director, Robert MacLeod, recently bought UK£148k worth of stock, paying UK£28.24 for each share. Although the purchase only increased their holding by 7.2%, it is still a solid purchase in our view.

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The Last 12 Months Of Insider Transactions At Johnson Matthey

Notably, that recent purchase by Robert MacLeod is the biggest insider purchase of Johnson Matthey shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of UK£30.15. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. 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. Happily, the Johnson Matthey insiders decided to buy shares at close to current prices.

In the last twelve months Johnson Matthey insiders were buying shares, but not selling. The chart below shows insider transactions (by individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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).

LSE:JMAT Recent Insider Trading, November 27th 2019
LSE:JMAT Recent Insider Trading, November 27th 2019

Does Johnson Matthey Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 0.1% of Johnson Matthey shares, worth about UK£5.6m, according to our data. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!

So What Does This Data Suggest About Johnson Matthey Insiders?

The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Johnson Matthey insiders are expecting a bright future. Of course, the future is what matters most. So if you are interested in Johnson Matthey, you should check out this free report on analyst forecasts for the company.

But note: Johnson Matthey may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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, but not derivative transactions.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Thank you for reading.

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