Bajaj Holdings & Investment Insiders Added ₹50.7b Of Stock To Their Holdings

Over the last year, a good number of insiders have significantly increased their holdings in Bajaj Holdings & Investment Limited (NSE:BAJAJHLDNG). This is encouraging because it indicates that insiders are more optimistic about the company's prospects.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Bajaj Holdings & Investment

The Last 12 Months Of Insider Transactions At Bajaj Holdings & Investment

The insider Rahul Kumar Bajaj made the biggest insider purchase in the last 12 months. That single transaction was for ₹51b worth of shares at a price of ₹6,231 each. So it's clear an insider wanted to buy, at around the current price, which is ₹6,825. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. 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 Bajaj Holdings & Investment insiders decided to buy shares at close to current prices. We note that Rahul Kumar Bajaj was both the biggest buyer and the biggest seller.

Over the last year, we can see that insiders have bought 8.16m shares worth ₹51b. On the other hand they divested 8.16m shares, for ₹51b. Overall, Bajaj Holdings & Investment insiders were net buyers during the last year. 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!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Does Bajaj Holdings & Investment 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. Bajaj Holdings & Investment insiders own about ₹41b worth of shares (which is 5.3% 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 Bajaj Holdings & Investment Insiders?

It doesn't really mean much that no insider has traded Bajaj Holdings & Investment shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. Judging from their transactions, and high insider ownership, Bajaj Holdings & Investment insiders feel good about the company's future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Bajaj Holdings & Investment. While conducting our analysis, we found that Bajaj Holdings & Investment has 1 warning sign and it would be unwise to ignore this.

Of course Bajaj Holdings & Investment may not be the best stock to buy. So you may wish to see this free collection of high quality 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 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.