Insider Buying: Rakesh Bhageria Just Spent ₹1.6m On Bhageria Industries Limited (NSE:BHAGERIA) Shares

By
Simply Wall St
Published
November 23, 2021
NSEI:BHAGERIA
Source: Shutterstock

Whilst it may not be a huge deal, we thought it was good to see that Rakesh Bhageria, who is a company insider, recently bought ₹1.6m worth of stock, for ₹258 per share. However, it only increased their shares held by 2.9%, and it wasn't a huge purchase by absolute value, either.

View our latest analysis for Bhageria Industries

Bhageria Industries Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when Non-Executive Independent Director Surendra Gupta bought ₹25m worth of shares at a price of ₹250 per share. That means that an insider was happy to buy shares at around the current price of ₹251. 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. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. Happily, the Bhageria Industries insiders decided to buy shares at close to current prices. We note that Surendra Gupta was both the biggest buyer and the biggest seller.

Happily, we note that in the last year insiders paid ₹44m for 194.52k shares. But they sold 18.00k shares for ₹3.8m. In the last twelve months there was more buying than selling by Bhageria Industries insiders. Their average price was about ₹224. It is certainly positive to see that insiders have invested their own money in the company. But we must note that the investments were made at well below today's share price. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

insider-trading-volume
NSEI:BHAGERIA Insider Trading Volume November 24th 2021

Bhageria Industries is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insider Ownership of Bhageria Industries

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Bhageria Industries insiders own 44% of the company, worth about ₹4.8b. 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 Bhageria Industries Insiders?

The recent insider purchases are heartening. And an analysis of the transactions over the last year also gives us confidence. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Bhageria Industries. That's what I like to see! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Bhageria Industries. Case in point: We've spotted 2 warning signs for Bhageria Industries you should be aware of.

Of course Bhageria Industries 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, but not derivative transactions.

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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

Discounted cash flow calculation for every stock

Simply Wall St does a detailed discounted cash flow calculation every 6 hours for every stock on the market, so if you want to find the intrinsic value of any company just search here. It’s FREE.


Simply Wall St character - Warren

Simply Wall St

Simply Wall St is focused on providing unbiased, high-quality research coverage on every listed company in the world. Our research team consists of data scientists and multiple equity analysts with over two decades worth of financial markets experience between them.