Insider Purchases Worth US$536.7k See Losses As Xponential Fitness Market Value Drops To US$283m

The recent price decline of 10% in Xponential Fitness, Inc.'s (NYSE:XPOF) stock may have disappointed insiders who bought US$536.7k worth of shares at an average price of US$7.67 in the past 12 months. Insiders purchase with the hope of seeing their investments increase in value over time. However, due to recent losses, their initial investment is now only worth US$394.8k, which is not great.

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.

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The Last 12 Months Of Insider Transactions At Xponential Fitness

The Lead Independent Director Bruce Haase made the biggest insider purchase in the last 12 months. That single transaction was for US$537k worth of shares at a price of US$7.67 each. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$5.64). Their view may have changed since then, but at least it shows they felt optimistic at the time. In our view, the price an insider pays for shares is very important. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. The only individual insider to buy over the last year was Bruce Haase.

You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

Check out our latest analysis for Xponential Fitness

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 Xponential Fitness Boast High 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. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 2.6% of Xponential Fitness shares, worth about US$7.5m, according to our data. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!

So What Does This Data Suggest About Xponential Fitness Insiders?

The fact that there have been no Xponential Fitness insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. While we have no worries about the insider transactions, we'd be more comfortable if they owned more Xponential Fitness stock. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Xponential Fitness. At Simply Wall St, we found 1 warning sign for Xponential Fitness that deserve your attention before buying any shares.

But note: Xponential Fitness may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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.