Insider Spends kr7.8m Buying More Shares In Neobo Fastigheter

Neobo Fastigheter AB (publ) (STO:NEOBO) shareholders (or potential shareholders) will be happy to see that the Chairman of the Board, Jan-Erik Hojvall, recently bought a whopping kr7.8m worth of stock, at a price of kr15.60. That increased their holding by a full 483%, 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.

View our latest analysis for Neobo Fastigheter

The Last 12 Months Of Insider Transactions At Neobo Fastigheter

Notably, that recent purchase by Jan-Erik Hojvall is the biggest insider purchase of Neobo Fastigheter shares that we've seen in the last year. So it's clear an insider wanted to buy, even at a higher price than the current share price (being kr15.20). 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. To us, it's very important to consider the price insiders pay for shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

Neobo Fastigheter insiders may have bought shares in the last year, but they didn't sell any. 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!

Neobo Fastigheter is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Does Neobo Fastigheter 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. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Neobo Fastigheter insiders own 15% of the company, worth about kr332m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Does This Data Suggest About Neobo Fastigheter Insiders?

It is good to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. When combined with notable insider ownership, these factors suggest Neobo Fastigheter insiders are well aligned, and quite possibly think the share price is too low. Looks promising! While it's good to be aware of 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. You'd be interested to know, that we found 2 warning signs for Neobo Fastigheter and we suggest you have a look.

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 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.