Munjal Patel Bought 1.3% More Shares In Lincoln Pharmaceuticals

Investors who take an interest in Lincoln Pharmaceuticals Limited (NSE:LINCOLN) should definitely note that the Whole Time Director, Munjal Patel, recently paid ₹566 per share to buy ₹20m worth of the stock. Although the purchase only increased their holding by 1.3%, it is still a solid purchase in our view.

See our latest analysis for Lincoln Pharmaceuticals

Lincoln Pharmaceuticals Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when Head of Sales & Marketing and Whole Time Director Ashish Patel bought ₹30m worth of shares at a price of ₹488 per share. We do like to see buying, but this purchase was made at well below the current price of ₹581. 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.

Over the last year, we can see that insiders have bought 425.50k shares worth ₹195m. On the other hand they divested 14.85k shares, for ₹11m. In total, Lincoln Pharmaceuticals insiders bought more than they sold over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).

Does Lincoln Pharmaceuticals 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. We usually like to see fairly high levels of insider ownership. It's great to see that Lincoln Pharmaceuticals insiders own 54% of the company, worth about ₹6.3b. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Do The Lincoln Pharmaceuticals Insider Transactions Indicate?

It's certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Lincoln Pharmaceuticals. One for the watchlist, at least! Along with insider transactions, I recommend checking if Lincoln Pharmaceuticals is growing revenue. This free chart of historic revenue and earnings should make that easy.

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.

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

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.