Bullish Besqab Insiders Loaded Up On kr99.3m Of Stock

Multiple insiders secured a larger position in Besqab AB (publ) (STO:BESQAB) shares over the last 12 months. This is reassuring as this suggests that insiders have increased optimism about the company's prospects.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

View our latest analysis for Besqab

Besqab Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by Founder & Director Samir Taha for kr99m worth of shares, at about kr24.70 per share. So it's clear an insider wanted to buy, at around the current price, which is kr26.60. That means they have been optimistic about the company in the past, though they may have changed their mind. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. The good news for Besqab share holders is that insiders were buying at near the current price. Notably Samir Taha was also the biggest seller.

In the last twelve months insiders purchased 4.02m shares for kr99m. But they sold 4.00m shares for kr99m. Overall, Besqab insiders were net buyers during the last year. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

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

Have Besqab Insiders Traded Recently?

In the last three months, Founder & Director Johan Gustavsson sold kr14k worth of shares. That's not much at all. Looking at the net result, we don't think this recent trading sheds much light on how insiders, as a group, are feeling about the company's prospects.

Insider Ownership Of Besqab

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Besqab insiders own 7.2% of the company, worth about kr191m. 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 Does This Data Suggest About Besqab Insiders?

While there has not been any insider buying in the last three months, there has been selling. But the sales were small, so we're not concerned. But insiders have shown more of an appetite for the stock, over the last year. It would be great to see more insider buying, but overall it seems like Besqab insiders are reasonably well aligned (owning significant chunk of the company's shares) and optimistic for the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Besqab. Our analysis shows 3 warning signs for Besqab (2 are a bit unpleasant!) and we strongly recommend you look at them before investing.

But note: Besqab 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.

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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.

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