Whilst it may not be a huge deal, we thought it was good to see that the Gaming Innovation Group Inc. (OB:GIG) Chief Marketing Officer & MD of GiG Media, Jonas Warrer, recently bought kr386k worth of stock, for kr19.29 per share. Although the purchase is not a big one, increasing their shareholding by only 5.3%, it can be interpreted as a good sign.
The Last 12 Months Of Insider Transactions At Gaming Innovation Group
Over the last year, we can see that the biggest insider sale was by the Independent Director, Henrik Ekdahl, for kr58m worth of shares, at about kr11.78 per share. That means that an insider was selling shares at slightly below the current price (kr18.96). As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. We note that the biggest single sale was 100% of Henrik Ekdahl's holding. Henrik Ekdahl was the only individual insider to sell over the last year.
In the last twelve months insiders purchased 84.00k shares for kr1.3m. But they sold 4.90m shares for kr58m. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).
Insider Ownership of Gaming Innovation Group
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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 28% of Gaming Innovation Group shares, worth about kr520m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
So What Does This Data Suggest About Gaming Innovation Group Insiders?
It is good to see recent purchasing. However, the longer term transactions are not so encouraging. The high levels of insider ownership, and the recent buying by some insiders suggests they are well aligned and optimistic. 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 1 warning sign for Gaming Innovation Group you should be aware of.
Of course Gaming Innovation Group 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.
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