Goodman Property Trust (NZSE:GMT) insiders are still down NZ$48k after purchasing last year, recent gain helped regain some losses

Insiders who bought NZ$643k worth of Goodman Property Trust (NZSE:GMT) stock in the last year have seen some of their losses recouped as the stock gained 5.1% last week. However, the purchase is proving to be a costly gamble, since losses made by insiders have totalled NZ$48k since the time of purchase.

While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

Check out the opportunities and risks within the NZ REITs industry.

Goodman Property Trust Insider Transactions Over The Last Year

The Independent Director Leonie Freeman made the biggest insider purchase in the last 12 months. That single transaction was for NZ$534k worth of shares at a price of NZ$2.27 each. That means that an insider was happy to buy shares at above the current price of NZ$2.07. Their view may have changed since then, but at least it shows they felt optimistic at the time. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

Happily, we note that in the last year insiders paid NZ$643k for 287.43k shares. On the other hand they divested 252.92k shares, for NZ$541k. Overall, Goodman Property Trust insiders were net buyers during the last year. 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!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Insiders At Goodman Property Trust Have Bought Stock Recently

Over the last three months, we've seen significantly more insider buying, than insider selling, at Goodman Property Trust. Independent Director Leonie Freeman spent NZ$534k on stock. But we did see Chief Financial Officer Andrew Eakin sell shares worth NZ$117k. The buying outweighs the selling, which suggests that insiders may believe the company will do well in the future.

Insider Ownership

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Our data suggests Goodman Property Trust insiders own 0.3% of the company, worth about NZ$8.3m. But they may have an indirect interest through a corporate structure that we haven't picked up on. We prefer to see high levels of insider ownership.

What Might The Insider Transactions At Goodman Property Trust Tell Us?

The recent insider purchase is heartening. And the longer term insider transactions also give us confidence. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that Goodman Property Trust insiders are reasonably well aligned, and optimistic for the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Goodman Property Trust. For example, Goodman Property Trust has 2 warning signs (and 1 which is a bit concerning) we think you should know about.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.