Insider Buying: The Flexion Mobile Plc (STO:FLEXM) Non-Executive Chairman Just Bought 42% More Shares

Simply Wall St
November 19, 2021
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Whilst it may not be a huge deal, we thought it was good to see that the Flexion Mobile Plc (STO:FLEXM) Non-Executive Chairman, Carl Palmstierna, recently bought kr812k worth of stock, for kr16.24 per share. That purchase might not be huge but it did increase their holding by 42%.

View our latest analysis for Flexion Mobile

Flexion Mobile Insider Transactions Over The Last Year

In fact, the recent purchase by Non-Executive Chairman Carl Palmstierna was not their only trade of Flexion Mobile shares this year. They previously made a sale of -kr1.6m worth of shares at a price of kr16.25 per share. So what is clear is that an insider saw fit to sell at around the current price of kr16.10. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).

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!

OM:FLEXM Insider Trading Volume November 20th 2021

I will like Flexion Mobile better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

Insider Ownership of Flexion Mobile

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. From our data, it seems that Flexion Mobile insiders own 9.8% of the company, worth about kr79m. But they may have an indirect interest through a corporate structure that we haven't picked up on. We do generally prefer see higher levels of insider ownership.

So What Does This Data Suggest About Flexion Mobile Insiders?

The stark truth for Flexion Mobile is that there has been more insider selling than insider buying in the last three months. Despite some insider buying, the longer term picture doesn't make us feel much more positive. Insiders own shares, but we're still pretty cautious, given the history of sales. We'd practice some caution before buying! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. You'd be interested to know, that we found 3 warning signs for Flexion Mobile and we suggest you have a look.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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, but not derivative transactions.

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