Svedbergs i Dalstorp AB (publ) (STO:SVED B) Insiders Increased Their Holdings
It is not uncommon to see companies perform well in the years after insiders buy shares. The flip side of that is that there are more than a few examples of insiders dumping stock prior to a period of weak performance. So shareholders might well want to know whether insiders have been buying or selling shares in Svedbergs i Dalstorp AB (publ) (STO:SVED B).
What Is Insider Selling?
It's quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, such insiders must disclose their trading activities, and not trade on inside information.
Insider transactions are not the most important thing when it comes to long-term investing. But logic dictates you should pay some attention to whether insiders are buying or selling shares. For example, a Columbia University study found that 'insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers'.
View our latest analysis for Svedbergs i Dalstorp
The Last 12 Months Of Insider Transactions At Svedbergs i Dalstorp
The President & CEO Per-Arne Andersson made the biggest insider purchase in the last 12 months. That single transaction was for kr620k worth of shares at a price of kr31.00 each. So it's clear an insider wanted to buy, at around the current price, which is kr37.00. Of course they may have changed their mind. But this suggests they are optimistic. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. In this case we're pleased to report that the insider purchases were made at close to current prices.
In the last twelve months Svedbergs i Dalstorp insiders were buying shares, but not selling. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Svedbergs i Dalstorp 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.
Insiders at Svedbergs i Dalstorp Have Bought Stock Recently
Over the last quarter, Svedbergs i Dalstorp insiders have spent a meaningful amount on shares. In total, insiders bought kr783k worth of shares in that time, and we didn't record any sales whatsoever. That shows some optimism about the company's future.
Insider Ownership
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. From our data, it seems that Svedbergs i Dalstorp insiders own 10% of the company, worth about kr81m. Whilst better than nothing, we're not overly impressed by these holdings.
So What Does This Data Suggest About Svedbergs i Dalstorp Insiders?
The recent insider purchases are heartening. And an analysis of the transactions over the last year also gives us confidence. Given that insiders also own a fair bit of Svedbergs i Dalstorp 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 4 warning signs for Svedbergs i Dalstorp you should be aware of.
Of course Svedbergs i Dalstorp 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. 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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About OM:SVED B
Svedbergs Group
Develops, manufactures, and markets bathroom products in the Nordic region, the United Kingdom, and the Netherlands.
Undervalued with excellent balance sheet.