Fox Factory Holding CEO & Director Acquires 24% More Stock

Investors who take an interest in Fox Factory Holding Corp. (NASDAQ:FOXF) should definitely note that the CEO & Director, Michael Dennison, recently paid US$44.30 per share to buy US$498k worth of the stock. That's a very solid buy in our book, and increased their holding by a noteworthy 24%.

View our latest analysis for Fox Factory Holding

The Last 12 Months Of Insider Transactions At Fox Factory Holding

Notably, that recent purchase by CEO & Director Michael Dennison was not the only time they traded Fox Factory Holding shares this year. Earlier in the year, they sold shares at a price ofUS$114 per share in a -US$1.0m transaction. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is US$46.34. So it may not tell us anything about how insiders feel about the current share price.

All up, insiders sold more shares in Fox Factory Holding than they bought, over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Insider Ownership

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. 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 indicates that Fox Factory Holding insiders own about US$7.3m worth of shares (which is 0.4% of the company). Whilst better than nothing, we're not overly impressed by these holdings.

So What Do The Fox Factory Holding Insider Transactions Indicate?

It's certainly positive to see the recent insider purchase. On the other hand the transaction history, over the last year, isn't so positive. The transactions over the last year don't give us confidence, and nor does the fairly low insider ownership, but at least the recent buying is a positive. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Fox Factory Holding. You'd be interested to know, that we found 2 warning signs for Fox Factory Holding and we suggest you have a look.

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 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com