Director of Ambea Daniel Björklund Buys 19% More Shares

Investors who take an interest in Ambea AB (publ) (STO:AMBEA) should definitely note that the Director, Daniel Björklund, recently paid kr43.49 per share to buy kr1.5m worth of the stock. That's a very solid buy in our book, and increased their holding by a noteworthy 19%.

View our latest analysis for Ambea

The Last 12 Months Of Insider Transactions At Ambea

In fact, the recent purchase by Daniel Björklund was the biggest purchase of Ambea shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is kr44.62. 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. 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. Happily, the Ambea insiders decided to buy shares at close to current prices.

Ambea insiders may have bought shares in the last year, but they didn't sell any. The average buy price was around kr38.96. To my mind it is good that insiders have invested their own money in the company. However, we do note that they were buying at significantly lower prices than today's share price. 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!

Ambea is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insider Ownership Of Ambea

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Our data suggests Ambea insiders own 0.8% of the company, worth about kr32m. However, it's possible that insiders might have an indirect interest through a more complex structure. We consider this fairly low insider ownership.

What Might The Insider Transactions At Ambea Tell Us?

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 Ambea 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 Ambea. To that end, you should learn about the 2 warning signs we've spotted with Ambea (including 1 which is a bit concerning).

Of course Ambea 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.