Positive Signs As Multiple Insiders Buy Fasadgruppen Group Stock

Usually, when one insider buys stock, it might not be a monumental event. But when multiple insiders are buying like they did in the case of Fasadgruppen Group AB (publ) (STO:FG), that sends out a positive message to the company's shareholders.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

View our latest analysis for Fasadgruppen Group

The Last 12 Months Of Insider Transactions At Fasadgruppen Group

Over the last year, we can see that the biggest insider purchase was by Independent Director Tomas Stahl for kr960k worth of shares, at about kr47.98 per share. We do like to see buying, but this purchase was made at well below the current price of kr60.20. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Happily, we note that in the last year insiders paid kr2.4m for 42.09k shares. On the other hand they divested 12.98k shares, for kr866k. In total, Fasadgruppen Group insiders bought more than they sold over the last year. The average buy price was around kr57.66. These transactions show that insiders have confidence to invest their own money in the stock, albeit at slightly below the recent price. 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 Fasadgruppen Group Have Bought Stock Recently

There has been significantly more insider buying, than selling, at Fasadgruppen Group, over the last three months. Insiders spent kr1.5m on shares. But we did see Head of Communications & Sustainability Adrian Westman sell shares worth kr393k. The buying outweighs the selling, which suggests that insiders may believe the company will do well in the future.

Insider Ownership Of Fasadgruppen 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. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Fasadgruppen Group insiders own 9.3% of the company, worth about kr277m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

What Might The Insider Transactions At Fasadgruppen Group Tell Us?

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 Fasadgruppen Group. One for the watchlist, at least! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we found 3 warning signs for Fasadgruppen Group that deserve your attention before buying any shares.

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 of direct interests only, but not derivative transactions or indirect interests.

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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.