KPIT Technologies Insider Ups Holding During Year

Looking at KPIT Technologies Limited's (NSE:KPITTECH ) insider transactions over the last year, we can see that insiders were net buyers. That is, there were more number of shares purchased by insiders than there were sold.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

See our latest analysis for KPIT Technologies

The Last 12 Months Of Insider Transactions At KPIT Technologies

Over the last year, we can see that the biggest insider purchase was by insider Srinath Batni for ₹32m worth of shares, at about ₹1,590 per share. That means that an insider was happy to buy shares at above the current price of ₹1,369. Their view may have changed since then, but at least it shows they felt optimistic at the time. We always take careful note of the price insiders pay when purchasing shares. As a general rule, we feel more positive about a stock when an insider has bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price. Srinath Batni was the only individual insider to buy during the last year.

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!

KPIT Technologies 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 KPIT Technologies Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. KPIT Technologies insiders own about ₹27b worth of shares (which is 7.2% of the company). 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 KPIT Technologies Insider Transactions Indicate?

It doesn't really mean much that no insider has traded KPIT Technologies shares in the last quarter. However, our analysis of transactions over the last year is heartening. It would be great to see more insider buying, but overall it seems like KPIT Technologies insiders are reasonably well aligned (owning significant chunk of the company's shares) and optimistic for the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing KPIT Technologies. While conducting our analysis, we found that KPIT Technologies has 1 warning sign and it would be unwise to ignore it.

Of course KPIT Technologies 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 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.