Insiders who bought stock earlier this year lose -kr798k as Artificial Solutions International AB (publ) (STO:ASAI) drops to kr279m

By
Simply Wall St
Published
February 19, 2022
OM:ASAI
Source: Shutterstock

Insiders who bought kr1.9m worth of Artificial Solutions International AB (publ)'s (STO:ASAI) stock at an average buy price of kr7.21 over the last year may be disappointed by the recent 14% decrease in the stock. Insiders buy with the expectation to see their investments rise in value over a period of time. However, recent losses have rendered their above investment worth kr1.1m which is not ideal.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.

View our latest analysis for Artificial Solutions International

Artificial Solutions International Insider Transactions Over The Last Year

While there weren't any large insider transactions in the last twelve months, it's still worth looking at the trading.

In the last twelve months Artificial Solutions International insiders were buying shares, but not selling. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

insider-trading-volume
OM:ASAI Insider Trading Volume February 19th 2022

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

Artificial Solutions International Insiders Bought Stock Recently

There was some insider buying at Artificial Solutions International over the last quarter. Independent Director Johan Gustavsson purchased kr202k worth of shares in that period. It's good to see the insider buying, as well as the lack of recent sellers. But in this case the amount purchased means the recent transaction may not be very meaningful on its own.

Insider Ownership of Artificial Solutions International

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. From our data, it seems that Artificial Solutions International insiders own 7.2% of the company, worth about kr20m. Whilst better than nothing, we're not overly impressed by these holdings.

So What Does This Data Suggest About Artificial Solutions International Insiders?

It's certainly positive 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 Artificial Solutions International insiders are well aligned, and that they may think the share price is too low. While we like knowing 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. Case in point: We've spotted 7 warning signs for Artificial Solutions International you should be aware of, and 1 of them is a bit unpleasant.

But note: Artificial Solutions International may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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.

Discounted cash flow calculation for every stock

Simply Wall St does a detailed discounted cash flow calculation every 6 hours for every stock on the market, so if you want to find the intrinsic value of any company just search here. It’s FREE.

Make Confident Investment Decisions

Simply Wall St's Editorial Team provides unbiased, factual reporting on global stocks using in-depth fundamental analysis.
Find out more about our editorial guidelines and team.