Shweta Moolchandani of Archies Limited (NSE:ARCHIES) Just Spent ₹72k On Shares

Whilst it may not be a huge deal, we thought it was good to see that Shweta Moolchandani, who is a company insider, recently bought ₹72k worth of stock, for ₹14.30 per share. While we're hesitant to get too excited about a purchase of that size, we do note it increased their holding by a solid 25%.

View our latest analysis for Archies

Archies Insider Transactions Over The Last Year

In fact, the recent purchase by Shweta Moolchandani was the biggest purchase of Archies shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is ₹14.30. 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. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. In this case we're pleased to report that the insider bought shares at close to current prices. Shweta Moolchandani was the only individual insider to buy shares in the last twelve months.

You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

Archies is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Does Archies 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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It's great to see that Archies insiders own 65% of the company, worth about ₹314m. 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 Archies Insider Transactions Indicate?

It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. But we don't feel the same about the fact the company is making losses. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Archies. One for the watchlist, at least! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Archies. In terms of investment risks, we've identified 2 warning signs with Archies and understanding these should be part of your investment process.

Of course Archies may not be the best stock to buy. So you may wish to see this free collection of high quality 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, but not derivative transactions.

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