Aditya Malkani Is The MD & Director of Ador Welding Limited (NSE:ADORWELD) And They Just Picked Up 5.6% More Shares

Whilst it may not be a huge deal, we thought it was good to see that the Ador Welding Limited (NSE:ADORWELD) MD & Director, Aditya Malkani, recently bought ₹2.0m worth of stock, for ₹306 per share. However, it only increased their shares held by 5.6%, and it wasn't a huge purchase by absolute value, either.

See our latest analysis for Ador Welding

Ador Welding Insider Transactions Over The Last Year

In fact, the recent purchase by MD & Director Aditya Malkani was not their only acquisition of Ador Welding shares this year. They previously made an even bigger purchase of ₹3.4m worth of shares at a price of ₹261 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of ₹335. 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.

Ador Welding insiders may have bought shares in the last year, but they didn't sell any. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, 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 growing companies that insiders are buying.

Insider Ownership of Ador Welding

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 Ador Welding insiders own about ₹327m worth of shares (which is 7.5% of the company). But they may have an indirect interest through a corporate structure that we haven't picked up on. Whilst better than nothing, we're not overly impressed by these holdings.

What Might The Insider Transactions At Ador Welding Tell Us?

It's certainly positive to see the recent insider purchase. And the longer term insider transactions also give us confidence. When combined with notable insider ownership, these factors suggest Ador Welding insiders are well aligned, and quite possibly think the share price is too low. Nice! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 5 warning signs for Ador Welding (of which 1 is a bit concerning!) you should know about.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.

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