Insiders Rewarded With ₹26m Addition To Investment As MTAR Technologies Stock Hits ₹52b

MTAR Technologies Limited (NSE:MTARTECH) insiders who bought shares over the past year were rewarded handsomely last week. The stock rose 19%, resulting in a ₹8.3b rise in the company's market capitalisation, translating to a gain of 17% on their initial investment. In other words, the original ₹150.4m purchase is now worth ₹176.2m.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

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The Last 12 Months Of Insider Transactions At MTAR Technologies

The insider K. Shalini made the biggest insider purchase in the last 12 months. That single transaction was for ₹150m worth of shares at a price of ₹1,432 each. We do like to see buying, but this purchase was made at well below the current price of ₹1,679. 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. By clicking on the graph below, you can see the precise details of each insider transaction!

Check out our latest analysis for MTAR Technologies

There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insider Ownership Of MTAR Technologies

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. MTAR Technologies insiders own about ₹14b worth of shares (which is 27% of the company). 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 Does This Data Suggest About MTAR Technologies Insiders?

The fact that there have been no MTAR Technologies insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. It would be great to see more insider buying, but overall it seems like MTAR Technologies insiders are reasonably well aligned (owning significant chunk of the company's shares) and optimistic for the future. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for MTAR Technologies.

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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.