Bullish TELUS International (Cda) Insiders Loaded Up On US$887.8k Of Stock

Usually, when one insider buys stock, it might not be a monumental event. But when multiple insiders are buying like they did in the case of TELUS International (Cda) Inc. (NYSE:TIXT), that sends out a positive message to the company's shareholders.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

Check out our latest analysis for TELUS International (Cda)

TELUS International (Cda) Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by President of TELUS Digital Solutions & Willow Tree Tobias Dengel for US$355k worth of shares, at about US$3.55 per share. That means that even when the share price was higher than US$3.22 (the recent price), an insider wanted to purchase shares. It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

Happily, we note that in the last year insiders paid US$888k for 301.00k shares. But they sold 5.60k shares for US$22k. In the last twelve months there was more buying than selling by TELUS International (Cda) insiders. The average buy price was around US$2.95. It's great to see insiders putting their own cash into the company's stock, albeit at below the recent share price. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

TELUS International (Cda) 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 TELUS International (Cda) Have Bought Stock Recently

There has been significantly more insider buying, than selling, at TELUS International (Cda), over the last three months. In total, President of TELUS Digital Solutions & Willow Tree Tobias Dengel bought US$355k worth of shares in that time. But we did see Chief Growth Officer Brian Hannon sell shares worth US$22k. We think insiders may be optimistic about the future, since insiders have been net buyers of shares.

Insider Ownership Of TELUS International (Cda)

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. TELUS International (Cda) insiders own about US$12m worth of shares. That equates to 1.4% of the company. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Does This Data Suggest About TELUS International (Cda) Insiders?

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 TELUS International (Cda) we think they are probably pretty confident of a bright future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For example, TELUS International (Cda) has 4 warning signs (and 2 which make us uncomfortable) we think you should know about.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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 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.