Raketech Group Holding's kr88m Market Cap Fall Books Insider Losses

The recent price decline of 30% in Raketech Group Holding PLC's (STO:RAKE) stock may have disappointed insiders who bought €758.0k worth of shares at an average price of €16.13 in the past 12 months. This is not good as insiders invest based on expectations that their money will appreciate over time. However, as a result of recent losses, their original investment is now worth only €213.6k.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

View our latest analysis for Raketech Group Holding

The Last 12 Months Of Insider Transactions At Raketech Group Holding

Over the last year, we can see that the biggest insider purchase was by Founder & CEO Johan Per Svensson for kr558k worth of shares, at about kr15.94 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being kr4.55). It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.

In the last twelve months Raketech Group Holding 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 click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).

Does Raketech Group Holding Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. From our data, it seems that Raketech Group Holding insiders own 13% of the company, worth about kr28m. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!

What Might The Insider Transactions At Raketech Group Holding Tell Us?

It doesn't really mean much that no insider has traded Raketech Group Holding shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. Insiders own shares in Raketech Group Holding and we see no evidence to suggest they are worried about the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Raketech Group Holding. While conducting our analysis, we found that Raketech Group Holding has 3 warning signs and it would be unwise to ignore them.

Of course Raketech Group Holding 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 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.