The Additional Director of Salona Cotspin Limited (NSE:SALONA), Arun Jhajharia, Just Bought 9.7% More Shares

Whilst it may not be a huge deal, we thought it was good to see that the Salona Cotspin Limited (NSE:SALONA) Additional Director, Arun Jhajharia, recently bought ₹1.9m worth of stock, for ₹58.00 per share. Although the purchase is not a big one, increasing their shareholding by only 9.7%, it can be interpreted as a good sign.

See our latest analysis for Salona Cotspin

The Last 12 Months Of Insider Transactions At Salona Cotspin

Notably, that recent purchase by Arun Jhajharia is the biggest insider purchase of Salona Cotspin shares that we've seen in the last year. So it's clear an insider wanted to buy, at around the current price, which is ₹58.90. That means they have been optimistic about the company in the past, though they may have changed their mind. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. Happily, the Salona Cotspin insiders decided to buy shares at close to current prices.

While Salona Cotspin insiders bought shares during the last year, they didn't sell. 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!

Salona Cotspin 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.

Insider Ownership

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Salona Cotspin insiders own about ₹219m worth of shares (which is 71% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Do The Salona Cotspin Insider Transactions Indicate?

It's certainly positive to see the recent insider purchases. And the longer term insider transactions also give us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Salona Cotspin. Looks promising! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Salona Cotspin. At Simply Wall St, we've found that Salona Cotspin has 4 warning signs (3 don't sit too well with us!) that deserve your attention before going any further with your analysis.

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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This article by Simply Wall St is general in nature. 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.
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