Chairman Ove Mattsson Just Bought 16% More Shares In Micropos Medical AB (publ) (NGM:MPOS)

Those following along with Micropos Medical AB (publ) (NGM:MPOS) will no doubt be intrigued by the recent purchase of shares by Ove Mattsson, Chairman of the company, who spent a stonking kr8.6m on stock at an average price of kr2.85. Not only is that a big swing, but it increased their holding size by 16%, which is definitely great to see.

View our latest analysis for Micropos Medical

The Last 12 Months Of Insider Transactions At Micropos Medical

Notably, that recent purchase by Chairman Ove Mattsson was not the only time they bought Micropos Medical shares this year. They previously made an even bigger purchase of kr8.9m worth of shares at a price of kr2.23 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of kr2.90. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Ove Mattsson bought 7.42m shares over the last 12 months at an average price of kr2.50. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Micropos Medical 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.

Does Micropos Medical Boast High Insider Ownership?

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. Micropos Medical insiders own about kr76m worth of shares. That equates to 23% of the company. 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 Do The Micropos Medical Insider Transactions Indicate?

The recent insider purchase is heartening. And the longer term insider transactions also give us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Given that insiders also own a fair bit of Micropos Medical we think they are probably pretty confident of a bright future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Micropos Medical. For example, Micropos Medical has 4 warning signs (and 2 which are potentially serious) we think you should know about.

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, but not derivative transactions.

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