Favourable Signals For Winnebago Industries: Numerous Insiders Acquired Stock

When a single insider purchases stock, it is typically not a major deal. However, when multiple insiders purchase stock, like in Winnebago Industries, Inc.'s (NYSE:WGO) instance, it's good news for shareholders.

Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

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Winnebago Industries Insider Transactions Over The Last Year

The Independent Chairman of the Board David Miles made the biggest insider purchase in the last 12 months. That single transaction was for US$151k worth of shares at a price of US$34.68 each. So it's clear an insider wanted to buy, at around the current price, which is US$34.77. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the Winnebago Industries insiders decided to buy shares at close to current prices.

Happily, we note that in the last year insiders paid US$403k for 11.24k shares. But they sold 1.50k shares for US$67k. Overall, Winnebago Industries insiders were net buyers during 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!

See our latest analysis for Winnebago Industries

Winnebago Industries is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Insiders At Winnebago Industries Have Bought Stock Recently

Over the last three months, we've seen significant insider buying at Winnebago Industries. Independent Director Sara Armbruster spent US$109k on stock, and there wasn't any selling. This makes one think the business has some good points.

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. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Winnebago Industries insiders own 3.9% of the company, worth about US$38m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The Winnebago Industries Insider Transactions Indicate?

It is good to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. Given that insiders also own a fair bit of Winnebago Industries we think they are probably pretty confident of a bright future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Winnebago Industries. To assist with this, we've discovered 1 warning sign that you should run your eye over to get a better picture of Winnebago Industries.

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.