Insider Buying: Pritu Gupta Just Spent ₹13m On Mangalam Global Enterprise Limited (NSE:MGEL) Shares

Investors who take an interest in Mangalam Global Enterprise Limited (NSE:MGEL) should definitely note that insider Pritu Gupta recently paid ₹42.00 per share to buy ₹13m worth of the stock. We reckon that's a good sign, especially since the purchase boosted their holding by 588%.

View our latest analysis for Mangalam Global Enterprise

Mangalam Global Enterprise Insider Transactions Over The Last Year

Notably, that recent purchase by Pritu Gupta is the biggest insider purchase of Mangalam Global Enterprise shares that we've seen in the last year. So it's clear an insider wanted to buy, even at a higher price than the current share price (being ₹41.65). 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. To us, it's very important to consider the price insiders pay for shares is very important. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.

Mangalam Global Enterprise insiders may have bought shares in the last year, but they didn't sell any. The chart below shows insider transactions (by companies and individuals) over the last year. 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.

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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Mangalam Global Enterprise insiders own about ₹577m worth of shares (which is 58% 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 Mangalam Global Enterprise Insider Transactions Indicate?

It is good to see recent purchasing. And an analysis of the transactions over the last year also gives us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Mangalam Global Enterprise. One for the watchlist, at least! 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. For instance, we've identified 3 warning signs for Mangalam Global Enterprise (1 doesn't sit too well with us) 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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