Should You Take Comfort From Insider Transactions At SpareBank 1 Østlandet (OB:SPOL)?

It is not uncommon to see companies perform well in the years after insiders buy shares. Unfortunately, there are also plenty of examples of share prices declining precipitously after insiders have sold shares. So shareholders might well want to know whether insiders have been buying or selling shares in SpareBank 1 Østlandet (OB:SPOL).

Do Insider Transactions Matter?

It’s quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, rules govern insider transactions, and certain disclosures are required.

Insider transactions are not the most important thing when it comes to long-term investing. But equally, we would consider it foolish to ignore insider transactions altogether. For example, a Columbia University study found that ‘insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers’.

Check out our latest analysis for SpareBank 1 Østlandet

SpareBank 1 Østlandet Insider Transactions Over The Last Year

While no particular insider transaction stood out, we can still look at the overall trading.

Over the last year, we can see that insiders have bought 2953 shares worth kr252k. SpareBank 1 Østlandet insiders may have bought shares in the last year, but they didn’t sell any. You can see the insider transactions (by 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!

OB:SPOL Recent Insider Trading, August 8th 2019
OB:SPOL Recent Insider Trading, August 8th 2019

Insider Ownership of SpareBank 1 Østlandet

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. From looking at our data, insiders own kr12m worth of SpareBank 1 Østlandet stock, about 0.1% of the company. We prefer to see high levels of insider ownership.

So What Does This Data Suggest About SpareBank 1 Østlandet Insiders?

It doesn’t really mean much that no insider has traded SpareBank 1 Østlandet shares in the last quarter. However, our analysis of transactions over the last year is heartening. Insiders own shares in SpareBank 1 Østlandet and we see no evidence to suggest they are worried about the future. Of course, the future is what matters most. So if you are interested in SpareBank 1 Østlandet, you should check out this free report on analyst forecasts for the company.

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.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.