Peter Sandberg Is The Chairman of Pegroco Invest AB (publ) (STO:PEGRO PREF) And They Just Picked Up 56% More Shares

Even if it's not a huge purchase, we think it was good to see that Peter Sandberg, the Chairman of Pegroco Invest AB (publ) (STO:PEGRO PREF) recently shelled out kr325k to buy stock, at kr66.76 per share. While that isn't the hugest buy, it actually boosted their shareholding by 56%, which is good to see.

Check out our latest analysis for Pegroco Invest

The Last 12 Months Of Insider Transactions At Pegroco Invest

In fact, the recent purchase by Chairman Peter Sandberg was not their only acquisition of Pegroco Invest shares this year. They previously made an even bigger purchase of kr352k worth of shares at a price of kr64.00 per share. That means that an insider was happy to buy shares at around the current price of kr75.00. 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. The good news for Pegroco Invest share holders is that an insider was buying at near the current price. The only individual insider to buy over the last year was Peter Sandberg.

Peter Sandberg bought 10.36k shares over the last 12 months at an average price of kr65.29. 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 always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

Does Pegroco Invest Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 27% of Pegroco Invest shares, worth about kr832m. 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 Pegroco Invest Tell Us?

It is good to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. When combined with notable insider ownership, these factors suggest Pegroco Invest insiders are well aligned, and quite possibly think the share price is too low. Looks promising! 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. Be aware that Pegroco Invest is showing 3 warning signs in our investment analysis, and 2 of those are significant...

But note: Pegroco Invest 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, but not derivative transactions.

When trading Pegroco Invest or any other investment, use the platform considered by many to be the Professional's Gateway to the Worlds Market, Interactive Brokers. You get the lowest-cost* trading on stocks, options, futures, forex, bonds and funds worldwide from a single integrated account. Promoted

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.
^*Interactive Brokers Rated Lowest Cost Broker by StockBrokers.com Annual Online Review 2020

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