Stock Analysis

This Insider Has Just Sold Shares In Empir Group AB (STO:EMPIR B)

OM:SAFETY B
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Investors may wish to note that the Chief Executive Officer of Empir Group AB, Lars Save, recently netted kr195k from selling stock, receiving an average price of kr11.82. It might not be a huge sale, but it did reduce their holding size 11%, hardly encouraging.

View our latest analysis for Empir Group

Empir Group Insider Transactions Over The Last Year

In fact, the recent sale by Chief Executive Officer Lars Save was not their only trade of Empir Group shares this year. They previously purchased kr339k worth of shares at a price of kr13.94 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being kr12.10). Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares is very important. It is encouraging to see an insider paid above the current price for shares, as it suggests they saw value, even at higher levels. Lars Save was the only individual insider to buy during the last year. Notably Lars Save was also the biggest seller.

Lars Save purchased 87.00k shares over the year. The average price per share was kr12.61. 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!

insider-trading-volume
OM:EMPIR B Insider Trading Volume February 28th 2021

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insider Ownership

Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Our data suggests Empir Group insiders own 4.0% of the company, worth about kr2.6m. However, it's possible that insiders might have an indirect interest through a more complex structure. I generally like to see higher levels of ownership.

What Might The Insider Transactions At Empir Group Tell Us?

The stark truth for Empir Group is that there has been more insider selling than insider buying in the last three months. On the other hand, the insider transactions over the last year are encouraging. But we'd like it if insiders owned more stock, overall. So overall it's hard to argue insiders are bullish. 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. When we did our research, we found 3 warning signs for Empir Group (2 are concerning!) that we believe deserve your full attention.

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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This article by Simply Wall St is general in nature. 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.
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