Stock Analysis

24% Of This Lesaka Technologies Insider's Holdings Were Sold

NasdaqGS:LSAK
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Looking at Lesaka Technologies, Inc.'s (NASDAQ:LSAK ) insider transactions over the last year, we can see that insiders were net sellers. That is, there were more number of shares sold by insiders than there were purchased.

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.

See our latest analysis for Lesaka Technologies

Lesaka Technologies Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the Director & CEO of Net1 Southern Africa, Lincoln Mali, for US$326k worth of shares, at about US$4.08 per share. That means that an insider was selling shares at slightly below the current price (US$4.28). As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. We note that the biggest single sale was only 24% of Lincoln Mali's holding. The only individual insider seller over the last year was Lincoln Mali.

Lincoln Mali sold a total of 96.00k shares over the year at an average price of US$4.15. 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!

insider-trading-volume
NasdaqGS:LSAK Insider Trading Volume October 9th 2023

I will like Lesaka Technologies better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

Insider Ownership Of Lesaka Technologies

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 3.0% of Lesaka Technologies shares, worth about US$8.0m, according to our data. We do generally prefer see higher levels of insider ownership.

So What Does This Data Suggest About Lesaka Technologies Insiders?

The fact that there have been no Lesaka Technologies insider transactions recently certainly doesn't bother us. We don't take much encouragement from the transactions by Lesaka Technologies insiders. And usually insiders own more stock in the company, according to our data. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Every company has risks, and we've spotted 2 warning signs for Lesaka Technologies you should know about.

But note: Lesaka Technologies 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.