Insider Buying: The Checkin.Com Group AB (publ) (STO:CHECK) Founder Just Bought kr388k Worth Of Shares

Even if it's not a huge purchase, we think it was good to see that Kristoffer Cassel, the Founder of Checkin.Com Group AB (publ) (STO:CHECK) recently shelled out kr388k to buy stock, at kr48.52 per share. Nevertheless, it only increased their shareholding by a minuscule percentage, and it wasn't a massive purchase by absolute value, either.

View our latest analysis for Checkin.Com Group

The Last 12 Months Of Insider Transactions At Checkin.Com Group

The Independent Director, Wilhelm Risberg, made the biggest insider sale in the last 12 months. That single transaction was for kr16m worth of shares at a price of kr29.90 each. So it's clear an insider wanted to take some cash off the table, even below the current price of kr45.00. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. It is worth noting that this sale was only 41% of Wilhelm Risberg's holding. Wilhelm Risberg was the only individual insider to sell shares in the last twelve months.

You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

I will like Checkin.Com Group 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

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. Checkin.Com Group insiders own 49% of the company, currently worth about kr651m based on the recent share price. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Does This Data Suggest About Checkin.Com Group Insiders?

It's certainly positive to see the recent insider purchase. However, the longer term transactions are not so encouraging. The recent buying by an insider , along with high insider ownership, suggest that Checkin.Com Group insiders are fairly aligned, and optimistic. 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. In terms of investment risks, we've identified 2 warning signs with Checkin.Com Group and understanding these should be part of your investment process.

But note: Checkin.Com Group 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.

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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.