Stock Analysis

Bodil Gallon Bought 66% More Shares In Fagerhult Group

OM:FAG
Source: Shutterstock

Potential Fagerhult Group AB (STO:FAG) shareholders may wish to note that the CEO & President, Bodil Gallon, recently bought kr1.8m worth of stock, paying kr69.45 for each share. We reckon that's a good sign, especially since the purchase boosted their holding by 66%.

See our latest analysis for Fagerhult Group

The Last 12 Months Of Insider Transactions At Fagerhult Group

In fact, the recent purchase by Bodil Gallon was the biggest purchase of Fagerhult Group shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is kr71.40. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. 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 Fagerhult Group insiders decided to buy shares at close to current prices.

In the last twelve months Fagerhult Group insiders were buying shares, but not selling. 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!

insider-trading-volume
OM:FAG Insider Trading Volume May 26th 2024

Fagerhult Group is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.

Does Fagerhult Group Boast High Insider Ownership?

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It appears that Fagerhult Group insiders own 2.9% of the company, worth about kr365m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Do The Fagerhult Group Insider Transactions Indicate?

It is good to see recent purchasing. We also take confidence from the longer term picture of insider transactions. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Fagerhult Group. Nice! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Fagerhult Group. For example - Fagerhult Group has 1 warning sign we think you should be aware of.

But note: Fagerhult Group may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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.

Valuation is complex, but we're helping make it simple.

Find out whether Fagerhult Group is potentially over or undervalued by checking out our comprehensive analysis, which includes fair value estimates, risks and warnings, dividends, insider transactions and financial health.

View the Free Analysis

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.