Rajani Seshadri of Titan Company Limited (NSE:TITAN) Just Spent ₹1.4m On Shares

Even if it's not a huge purchase, we think it was good to see that Rajani Seshadri, a Titan Company Limited (NSE:TITAN) insider, recently shelled out ₹1.4m to buy stock, at ₹1,435 per share. However, it only increased their shares held by 10.0%, and it wasn't a huge purchase by absolute value, either.

See our latest analysis for Titan

Titan Insider Transactions Over The Last Year

Notably, that recent purchase by insider Rajani Seshadri was not the only time they bought Titan shares this year. Earlier in the year, they paid ₹1,129 per share in a ₹2.3m purchase. So it's clear an insider wanted to buy, at around the current price, which is ₹1,407. 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. The good news for Titan share holders is that an insider was buying at near the current price. The only individual insider to buy over the last year was Rajani Seshadri.

Rajani Seshadri bought 11.00k shares over the last 12 months at an average price of ₹1,260. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

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. Titan insiders own about ₹68b worth of shares (which is 5.4% 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 Does This Data Suggest About Titan Insiders?

The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Titan. Looks promising! So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. Case in point: We've spotted 2 warning signs for Titan you should be aware of.

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, 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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