Insider Buys Additional ₹4.9m In SKP Bearing Industries Stock

Whilst it may not be a huge deal, we thought it was good to see that the SKP Bearing Industries Limited (NSE:SKP) Non-Executive Non-Independent Director, Sangita Palshikar, recently bought ₹4.9m worth of stock, for ₹214 per share. Nevertheless, it only increased their shareholding by a minuscule percentage, and it wasn't a massive purchase by absolute value, either.

View our latest analysis for SKP Bearing Industries

The Last 12 Months Of Insider Transactions At SKP Bearing Industries

Notably, that recent purchase by Sangita Palshikar is the biggest insider purchase of SKP Bearing Industries shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of ₹216. Of course they may have changed their mind. But this suggests they are optimistic. 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. In this case we're pleased to report that the insider purchases were made at close to current prices.

While SKP Bearing Industries insiders bought shares during the last year, they didn't sell. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

SKP Bearing Industries is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Does SKP Bearing Industries Boast High Insider Ownership?

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. SKP Bearing Industries insiders own 74% of the company, currently worth about ₹2.7b based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At SKP Bearing Industries Tell Us?

It's certainly positive 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 SKP Bearing Industries. Looks promising! While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Be aware that SKP Bearing Industries is showing 4 warning signs in our investment analysis, and 1 of those is concerning...

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.