Have Insiders Sold Cosmo First Shares Recently?

Investors may wish to note that the Director of Corporate Affairs & Whole Time Director of Cosmo First Limited, Anil Jain, recently netted ₹7.0m from selling stock, receiving an average price of ₹637. It might not be a huge sale, but it did reduce their holding size 20%, hardly encouraging.

See our latest analysis for Cosmo First

Cosmo First Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by Chairman & MD Ashok Jaipuria for ₹43m worth of shares, at about ₹688 per share. That means that even when the share price was higher than ₹685 (the recent price), an insider wanted to purchase shares. It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. As a general rule, we feel more positive about a stock when an insider has bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price. Ashok Jaipuria was the only individual insider to buy shares in the last twelve months.

Ashok Jaipuria bought 200.00k shares over the last 12 months at an average price of ₹669. 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 undervalued small cap companies that insiders are buying.

Does Cosmo First 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. A high insider ownership often makes company leadership more mindful of shareholder interests. Cosmo First insiders own 45% of the company, currently worth about ₹8.1b based on the recent share price. 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 Cosmo First Insider Transactions Indicate?

An insider sold Cosmo First shares recently, but they didn't buy any. On the other hand, the insider transactions over the last year are encouraging. We are also comforted by the high levels of insider ownership. So we're not too bothered by recent selling. While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. For example, Cosmo First has 4 warning signs (and 1 which shouldn't be ignored) we think you should know about.

But note: Cosmo First may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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 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.

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