Aniruddha Mehta Is The Chairman & MD of MRO-TEK Realty Limited (NSE:MRO-TEK) And They Just Picked Up 1.3% More Shares

Whilst it may not be a huge deal, we thought it was good to see that the MRO-TEK Realty Limited (NSE:MRO-TEK) Chairman & MD, Aniruddha Mehta, recently bought ₹1.5m worth of stock, for ₹37.32 per share. Although the purchase is not a big one, increasing their shareholding by only 1.3%, it can be interpreted as a good sign.

Check out our latest analysis for MRO-TEK Realty

The Last 12 Months Of Insider Transactions At MRO-TEK Realty

In fact, the recent purchase by Aniruddha Mehta was the biggest purchase of MRO-TEK Realty shares made by an insider individual in the last twelve months, according to our records. That means that even when the share price was higher than ₹36.15 (the recent price), an insider wanted to purchase shares. 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. To us, it's very important to consider the price insiders pay for shares is very important. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

MRO-TEK Realty insiders may have bought shares in the last year, but they didn't sell any. They paid about ₹33.18 on average. These transactions show that insiders have confidence to invest their own money in the stock, albeit at slightly below the recent price of ₹36.15. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insider Ownership

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. MRO-TEK Realty insiders own about ₹260m worth of shares (which is 43% 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 MRO-TEK Realty Insider Transactions Indicate?

It is good to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about MRO-TEK Realty. Looks promising! While we like knowing 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. For example, MRO-TEK Realty has 3 warning signs (and 1 which is a bit concerning) we think you should know about.

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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