TKH Group N.V. (AMS:TWEKA) insiders who purchased shares in the last 12 months were richly rewarded last week. The stock climbed by 10% resulting in a €142m addition to the company’s market value. As a result, their original purchase of €2.4m worth of stock is now worth €2.9m.
While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.
If you're not interested in researching TWEKA's insider transactions, we have a free list of interesting investing ideas to potentially inspire your next investment!
TKH Group Insider Transactions Over The Last Year
The Chairman of the Executive Board & CEO, J. M. Van Der Lof, made the biggest insider sale in the last 12 months. That single transaction was for €1.3m worth of shares at a price of €45.65 each. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is €37.30. So it may not tell us anything about how insiders feel about the current share price.
Over the last year, we can see that insiders have bought 77.22k shares worth €2.4m. On the other hand they divested 49.38k shares, for €2.1m. In total, TKH Group insiders bought more than they sold over the last year. The average buy price was around €30.95. 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. 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!
TKH Group 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.
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. We usually like to see fairly high levels of insider ownership. TKH Group insiders own 6.6% of the company, currently worth about €101m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
So What Does This Data Suggest About TKH Group Insiders?
There haven't been any insider transactions in the last three months -- that doesn't mean much. On a brighter note, the transactions over the last year are encouraging. It would be great to see more insider buying, but overall it seems like TKH Group 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 TKH Group. Our analysis shows 2 warning signs for TKH Group (1 is significant!) and we strongly recommend you look at these before investing.
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, but not derivative transactions.
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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.
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