Chairman & MD Rupesh Kumar Mehta Just Bought 27% More Shares In Macpower CNC Machines Limited (NSE:MACPOWER)

Even if it's not a huge purchase, we think it was good to see that Rupesh Kumar Mehta, the Chairman & MD of Macpower CNC Machines Limited (NSE:MACPOWER) recently shelled out ₹1.9m to buy stock, at ₹97.50 per share. That purchase might not be huge but it did increase their holding by 27%.

Check out our latest analysis for Macpower CNC Machines

Macpower CNC Machines Insider Transactions Over The Last Year

Notably, that recent purchase by Rupesh Kumar Mehta is the biggest insider purchase of Macpower CNC Machines shares that we've seen in the last year. That implies that an insider found the current price of ₹97.50 per share to be enticing. That means they have been optimistic about the company in the past, though they may have changed their mind. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. The good news for Macpower CNC Machines share holders is that an insider was buying at near the current price. The only individual insider to buy over the last year was Rupesh Kumar Mehta.

Rupesh Kumar Mehta bought 36.52k shares over the last 12 months at an average price of ₹83.71. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Macpower CNC Machines is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Does Macpower CNC Machines Boast High 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. I reckon it's a good sign if insiders own a significant number of shares in the company. Macpower CNC Machines insiders own about ₹341m worth of shares. That equates to 35% of the company. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About Macpower CNC Machines Insiders?

It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Macpower CNC Machines. That's what I like to see! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Macpower CNC Machines. At Simply Wall St, we've found that Macpower CNC Machines has 4 warning signs (1 doesn't sit too well with us!) that deserve your attention before going any further with your analysis.

But note: Macpower CNC Machines 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, but not derivative transactions.

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