Embracer Group AB (publ) (STO:EMBRAC B) shareholders (or potential shareholders) will be happy to see that the Interim COO & Director, Matthew Karch, recently bought a whopping kr29m worth of stock, at a price of kr29.22. That increased their holding by a full 64%, which arguably implies the sort of confidence required for a shy sweet-natured nerd to ask the most popular kid in the school to go out on a date.
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The Last 12 Months Of Insider Transactions At Embracer Group
In fact, the recent purchase by Interim COO & Director Matthew Karch was not their only acquisition of Embracer Group shares this year. They previously made an even bigger purchase of kr142m worth of shares at a price of kr24.66 per share. Even though the purchase was made at a significantly lower price than the recent price (kr30.45), we still think insider buying is a positive. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.
While Embracer Group insiders bought shares during the last year, they didn't sell. 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!
Embracer Group 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.
Insider Ownership Of Embracer Group
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's great to see that Embracer Group insiders own 4.4% of the company, worth about kr1.8b. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
What Might The Insider Transactions At Embracer Group Tell Us?
The recent insider purchases are heartening. We also take confidence from the longer term picture of insider transactions. When combined with notable insider ownership, these factors suggest Embracer Group insiders are well aligned, and quite possibly think the share price is too low. One for the watchlist, at least! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Embracer Group. Every company has risks, and we've spotted 3 warning signs for Embracer Group (of which 1 is concerning!) 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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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.
About OM:EMBRAC B
Embracer Group
Develops and publishes PC, console, mobile, VR, and board games for the games market worldwide.
Flawless balance sheet and good value.