Ganga Forging Insider Ups Holding During Year

Insiders were net buyers of Ganga Forging Limited's (NSE:GANGAFORGE ) stock during the past year. That is, insiders bought more stock than they sold.

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.

See our latest analysis for Ganga Forging

Ganga Forging Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when insider Harsh Nar bought ₹20m worth of shares at a price of ₹5.20 per share. That implies that an insider found the current price of ₹5.35 per share to be enticing. 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. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. In this case we're pleased to report that the insider bought shares at close to current prices. Harsh Nar was the only individual insider to buy during the last year.

The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Ganga Forging is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Insiders At Ganga Forging Have Sold Stock Recently

The last quarter saw substantial insider selling of Ganga Forging shares. Specifically, insider Shitalben Nar ditched ₹8.2m worth of shares in that time, and we didn't record any purchases whatsoever. Overall this makes us a bit cautious, but it's not the be all and end all.

Insider Ownership Of Ganga Forging

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Ganga Forging insiders own 40% of the company, currently worth about ₹290m 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 Ganga Forging Insider Transactions Indicate?

An insider sold Ganga Forging shares recently, but they didn't buy any. But we take heart from prior transactions. On top of that, insiders own a significant portion of the company. So we're happy to look past recent trading. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Ganga Forging. For instance, we've identified 6 warning signs for Ganga Forging (1 is a bit concerning) you should be aware of.

But note: Ganga Forging 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.