President & CEO of Meko Pehr Oscarson Buys 2.4% More Shares

Potential Meko AB (publ) (STO:MEKO) shareholders may wish to note that the President & CEO, Pehr Oscarson, recently bought kr1.4m worth of stock, paying kr144 for each share. While that's a very decent purchase to our minds, it was proportionally a bit modest, boosting their holding by just 2.4%.

See our latest analysis for Meko

Meko Insider Transactions Over The Last Year

Notably, that recent purchase by President & CEO Pehr Oscarson was not the only time they bought Meko shares this year. They previously made an even bigger purchase of kr2.2m worth of shares at a price of kr109 per share. We do like to see buying, but this purchase was made at well below the current price of kr138. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

While Meko insiders bought shares during the last year, they didn't sell. The average buy price was around kr121. 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. By clicking on the graph below, you can see the precise details of each insider transaction!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.

Does Meko 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. We usually like to see fairly high levels of insider ownership. Insiders own 5.8% of Meko shares, worth about kr451m. 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 Meko Insider Transactions Indicate?

It's certainly positive to see the recent insider purchase. And the longer term insider transactions also give us confidence. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Meko. That's what I like to see! 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. For example - Meko has 2 warning signs we think you should be aware of.

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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