Insider Buying: The Zaptec AS (OB:ZAP) Chief Executive Officer Just Bought 15% More Shares

Even if it's not a huge purchase, we think it was good to see that Peter Bardenfleth-Hansen, the Chief Executive Officer of Zaptec AS (OB:ZAP) recently shelled out kr540k to buy stock, at kr26.99 per share. That purchase might not be huge but it did increase their holding by 15%.

Check out our latest analysis for Zaptec

The Last 12 Months Of Insider Transactions At Zaptec

In fact, the recent purchase by Peter Bardenfleth-Hansen was the biggest purchase of Zaptec shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, even at a higher price than the current share price (being kr25.60). It's very possible they regret the purchase, but it's more likely they are bullish about the company. To us, it's very important to consider the price insiders pay for shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.

Zaptec insiders may have bought shares in the last year, but they didn't sell any. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Zaptec 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.

Does Zaptec Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Our data indicates that Zaptec insiders own about kr91m worth of shares (which is 4.1% of the company). Whilst better than nothing, we're not overly impressed by these holdings.

So What Does This Data Suggest About Zaptec Insiders?

The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. But we don't feel the same about the fact the company is making losses. Given that insiders also own a fair bit of Zaptec we think they are probably pretty confident of a bright future. 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. Case in point: We've spotted 2 warning signs for Zaptec you should be aware of.

Of course Zaptec 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, 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.