Bullish Kiri Industries Insiders Rewarded As Their Investment Rises To ₹2.26b

Insiders who bought Kiri Industries Limited (NSE:KIRIINDUS) stock in the last 12 months were richly rewarded last week. The company's market value increased by ₹3.8b as a result of the stock's 13% gain over the same period. As a result, their original purchase of ₹1.40b worth of stock is now worth ₹2.26b.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

View our latest analysis for Kiri Industries

Kiri Industries Insider Transactions Over The Last Year

The insider Anupama Kiri made the biggest insider purchase in the last 12 months. That single transaction was for ₹399m worth of shares at a price of ₹369 each. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of ₹595. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

While Kiri Industries insiders bought shares during the last year, they didn't sell. 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!

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

Does Kiri Industries 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. It appears that Kiri Industries insiders own 21% of the company, worth about ₹7.0b. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Do The Kiri Industries Insider Transactions Indicate?

The fact that there have been no Kiri Industries insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. With high insider ownership and encouraging transactions, it seems like Kiri Industries insiders think the business has merit. 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. While conducting our analysis, we found that Kiri Industries has 1 warning sign and it would be unwise to ignore it.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.