Bullish Caesars Entertainment Insiders Loaded Up On US$2.43m Of Stock

Over the last year, a good number of insiders have significantly increased their holdings in Caesars Entertainment, Inc. (NASDAQ:CZR). This is encouraging because it indicates that insiders are more optimistic about the company's prospects.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Caesars Entertainment

The Last 12 Months Of Insider Transactions At Caesars Entertainment

In the last twelve months, the biggest single purchase by an insider was when Independent Director Michael Pegram bought US$1.5m worth of shares at a price of US$36.40 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$32.59). 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. 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$2.4m for 66.00k shares. But they sold 10.69k shares for US$349k. In the last twelve months there was more buying than selling by Caesars Entertainment insiders. 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!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.

Does Caesars Entertainment Boast High 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. Caesars Entertainment insiders own about US$54m worth of shares. That equates to 0.8% of the company. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About Caesars Entertainment Insiders?

It doesn't really mean much that no insider has traded Caesars Entertainment shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. Insiders own shares in Caesars Entertainment and we see no evidence to suggest they are worried about the future. Of course, the future is what matters most. So if you are interested in Caesars Entertainment, you should check out this free report on analyst forecasts for the company.

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.