Insider Buys Additional UK£124k In Mountview Estates Stock

Potential Mountview Estates P.L.C. (LON:MTVW) shareholders may wish to note that the CEO & Executive Director, Duncan Sinclair, recently bought UK£124k worth of stock, paying UK£88.50 for each share. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.

View our latest analysis for Mountview Estates

The Last 12 Months Of Insider Transactions At Mountview Estates

The Non-Executive Director, Andrew Williams, made the biggest insider sale in the last 12 months. That single transaction was for UK£315k worth of shares at a price of UK£92.50 each. So we know that an insider sold shares at around the present share price of UK£91.00. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern. Andrew Williams was the only individual insider to sell shares in the last twelve months.

In the last twelve months insiders purchased 1.90k shares for UK£170k. But insiders sold 3.40k shares worth UK£315k. 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!

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Insider Ownership Of Mountview Estates

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Mountview Estates insiders own 30% of the company, worth about UK£107m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Do The Mountview Estates Insider Transactions Indicate?

The recent insider purchase is heartening. On the other hand the transaction history, over the last year, isn't so positive. The high levels of insider ownership, and the recent buying by an insider suggests they are well aligned and optimistic. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. When we did our research, we found 2 warning signs for Mountview Estates (1 doesn't sit too well with us!) that we believe deserve your full attention.

But note: Mountview Estates 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 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.