Insiders who purchased Foxtons Group plc (LON:FOXT) stock last year recover some losses which currently stand at UK£9.5k

Simply Wall St
March 23, 2022
Source: Shutterstock

Insiders who bought UK£117k worth of Foxtons Group plc (LON:FOXT) stock in the last year have seen some of their losses recouped as the stock gained 18% last week. However, total losses seen by insiders are still UK£9.5k but in since the time of purchase.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Foxtons Group

The Last 12 Months Of Insider Transactions At Foxtons Group

In the last twelve months, the biggest single purchase by an insider was when Chairman Nigel Sutherland Rich bought UK£50k worth of shares at a price of UK£0.33 per share. Even though the purchase was made at a significantly lower price than the recent price (UK£0.37), we still think insider buying is a positive. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

In the last twelve months Foxtons Group insiders were buying shares, but not selling. The average buy price was around UK£0.40. I'd consider this a positive as it suggests insiders see value at around the current price. 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!

LSE:FOXT Insider Trading Volume March 23rd 2022

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Foxtons Group Insiders Bought Stock Recently

Over the last quarter, Foxtons Group insiders have spent a meaningful amount on shares. We can see that Chairman Nigel Sutherland Rich paid UK£62k for shares in the company. No-one sold. That shows some optimism about the company's future.

Insider Ownership

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. We usually like to see fairly high levels of insider ownership. Our data indicates that Foxtons Group insiders own about UK£4.7m worth of shares (which is 4.0% of the company). We do generally prefer see higher levels of insider ownership.

So What Does This Data Suggest About Foxtons Group Insiders?

The recent insider purchase is heartening. And the longer term insider transactions also give us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Foxtons Group insiders are expecting a bright future. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Foxtons Group.

Of course Foxtons Group 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, but not derivative transactions.

Discounted cash flow calculation for every stock

Simply Wall St does a detailed discounted cash flow calculation every 6 hours for every stock on the market, so if you want to find the intrinsic value of any company just search here. It’s FREE.

Make Confident Investment Decisions

Simply Wall St's Editorial Team provides unbiased, factual reporting on global stocks using in-depth fundamental analysis.
Find out more about our editorial guidelines and team.