Even if it’s not a huge purchase, we think it was good to see that Mark Justh, the Lead Director of Odyssey Marine Exploration, Inc. (NASDAQ:OMEX) recently shelled out US$83k to buy stock, at US$3.19 per share. While we’re hesitant to get too excited about a purchase of that size, we do note it increased their holding by a solid 15%.
Odyssey Marine Exploration Insider Transactions Over The Last Year
Notably, that recent purchase by Lead Director Mark Justh was not the only time they bought Odyssey Marine Exploration shares this year. Earlier in the year, they paid US$5.12 per share in a US$102k purchase. So it’s clear an insider wanted to buy, even at a higher price than the current share price (being US$3.30). 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. In our view, the price an insider pays 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. Mark Justh was the only individual insider to buy shares in the last twelve months.
Mark Justh bought 69.52k shares over the last 12 months at an average price of US$4.27. You can see the insider transactions (by individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Our data indicates that Odyssey Marine Exploration insiders own about US$3.9m worth of shares (which is 13% of the company). Overall, this level of ownership isn’t that impressive, but it’s certainly better than nothing!
So What Do The Odyssey Marine Exploration Insider Transactions Indicate?
It’s certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. But we don’t feel the same about the fact the company is making losses. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Odyssey Marine Exploration insiders are expecting a bright future. To put this in context, take a look at how a company has performed in the past. You can access this detailed graph of past earnings, revenue and cash flow.
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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