Harold C. Goddijn Buys Handful Of Shares In TomTom

Potential TomTom N.V. (AMS:TOM2) shareholders may wish to note that the Co-Founder, Harold C. Goddijn, recently bought €405k worth of stock, paying €4.16 for each share. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.

See our latest analysis for TomTom

The Last 12 Months Of Insider Transactions At TomTom

Notably, that recent purchase by Harold C. Goddijn is the biggest insider purchase of TomTom shares that we've seen in the last year. That implies that an insider found the current price of €4.17 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the TomTom insider decided to buy shares at close to current prices. The only individual insider to buy over the last year was Harold C. Goddijn.

Harold C. Goddijn bought 117.37k shares over the last 12 months at an average price of €4.13. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

TomTom is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

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. TomTom insiders own about €277m worth of shares (which is 54% 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 Does This Data Suggest About TomTom Insiders?

It's certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. 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 TomTom. One for the watchlist, at least! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing TomTom. In terms of investment risks, we've identified 1 warning sign with TomTom and understanding it should be part of your investment process.

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 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.