ASM International Insiders Placed Bullish Bets Worth €4.00m

Multiple insiders secured a larger position in ASM International NV (AMS:ASM) shares over the last 12 months. This is reassuring as this suggests that insiders have increased optimism about the company's prospects.

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.

View our latest analysis for ASM International

The Last 12 Months Of Insider Transactions At ASM International

Over the last year, we can see that the biggest insider purchase was by insider Gek Lim Loh for €2.0m worth of shares, at about €520 per share. That means that an insider was happy to buy shares at around the current price of €570. That means they have been optimistic about the company in the past, though they may have changed their mind. 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. The good news for ASM International share holders is that insiders were buying at near the current price.

Happily, we note that in the last year insiders paid €4.0m for 7.65k shares. But they sold 1.61k shares for €979k. In total, ASM International insiders bought more than they sold over 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!

ASM International is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.

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. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that ASM International insiders own 0.09% of the company, worth about €26m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

What Might The Insider Transactions At ASM International Tell Us?

It doesn't really mean much that no insider has traded ASM International shares in the last quarter. On a brighter note, the transactions over the last year are encouraging. Insiders own shares in ASM International and we see no evidence to suggest they are worried about the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing ASM International. In terms of investment risks, we've identified 2 warning signs with ASM International and understanding them should be part of your investment process.

Of course ASM International 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.