DEE Development Engineers Reaches ₹21b Market Cap Benefiting Insider Stock Buying

Insiders who bought DEE Development Engineers Limited (NSE:DEEDEV) stock in the last 12 months were richly rewarded last week. The company's market value increased by ₹2.0b as a result of the stock's 10% gain over the same period. In other words, the original ₹5.02m purchase is now worth ₹7.20m.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

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The Last 12 Months Of Insider Transactions At DEE Development Engineers

In the last twelve months, the biggest single purchase by an insider was when Chairman & MD Krishan Bansal bought ₹5.0m worth of shares at a price of ₹209 per share. We do like to see buying, but this purchase was made at well below the current price of ₹300. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

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!

View our latest analysis for DEE Development Engineers

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

Insider Ownership Of DEE Development Engineers

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It's great to see that DEE Development Engineers insiders own 59% of the company, worth about ₹12b. 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 DEE Development Engineers Insider Transactions Indicate?

It doesn't really mean much that no insider has traded DEE Development Engineers shares in the last quarter. On a brighter note, the transactions over the last year are encouraging. Judging from their transactions, and high insider ownership, DEE Development Engineers insiders feel good about the company's future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing DEE Development Engineers. Every company has risks, and we've spotted 2 warning signs for DEE Development Engineers (of which 1 can't be ignored!) you should know about.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.