Trade Alert: Sujatha Sampath At Thirumalai Chemicals Limited (NSE:TIRUMALCHM), Has Just Spent ₹997k Buying A Small Number of Shares

Whilst it may not be a huge deal, we thought it was good to see that Sujatha Sampath, who is a company insider, recently bought ₹997k worth of stock, for ₹99.74 per share. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.

View our latest analysis for Thirumalai Chemicals

The Last 12 Months Of Insider Transactions At Thirumalai Chemicals

While no particular insider transaction stood out, we can still look at the overall trading.

In the last twelve months Thirumalai Chemicals insiders were buying shares, but not selling. Their average price was about ₹54.37. We don't deny that it is nice to see insiders buying stock in the company. However, you should keep in mind that they bought when the share price was meaningfully below today's levels, which is around ₹108. 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!

Thirumalai Chemicals 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 Thirumalai Chemicals

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. Insiders own 16% of Thirumalai Chemicals shares, worth about ₹1.7b. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

What Might The Insider Transactions At Thirumalai Chemicals Tell Us?

It's certainly positive to see the recent insider purchases. And the longer term insider transactions also give us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Thirumalai Chemicals. Looks promising! 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. At Simply Wall St, we found 1 warning sign for Thirumalai Chemicals that deserve your attention before buying any shares.

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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