Andrew Coombs Bought 47% More Shares In Sirius Real Estate

Those following along with Sirius Real Estate Limited (LON:SRE) will no doubt be intrigued by the recent purchase of shares by Andrew Coombs, CEO & Executive Director of the company, who spent a stonking UK£3.3m on stock at an average price of UK£0.87. Aside from being a solid chunk in its own right, the deft move also saw their holding increase by some 47%.

Check out our latest analysis for Sirius Real Estate

Sirius Real Estate Insider Transactions Over The Last Year

Notably, that recent purchase by CEO & Executive Director Andrew Coombs was not the only time they traded Sirius Real Estate shares this year. They previously made a sale of -UK£3.8m worth of shares at a price of UK£0.98 per share. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. The silver lining is that this sell-down took place above the latest price (UK£0.86). So it may not shed much light on insider confidence at current levels.

In the last twelve months insiders purchased 4.06m shares for UK£3.6m. But insiders sold 3.96m shares worth UK£3.9m. All up, insiders sold more shares in Sirius Real Estate than they bought, over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

I will like Sirius Real Estate better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

Insider Ownership Of Sirius Real Estate

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 1.7% of Sirius Real Estate shares, worth about UK£22m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The Sirius Real Estate Insider Transactions Indicate?

Unfortunately, there has been more insider selling of Sirius Real Estate stock, than buying, in the last three months. Despite some insider buying, the longer term picture doesn't make us feel much more positive. But since Sirius Real Estate is profitable and growing, we're not too worried by this. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! 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. For example, Sirius Real Estate has 4 warning signs (and 1 which is potentially serious) we think you should know about.

Of course Sirius Real Estate may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

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.