Stock Analysis

David Keyte Is The Independent Lead Director of Antero Midstream Corporation (NYSE:AM) And They Just Picked Up 14% More Shares

Source: Shutterstock

Potential Antero Midstream Corporation (NYSE:AM) shareholders may wish to note that the Independent Lead Director, David Keyte, recently bought US$100k worth of stock, paying US$10.01 for each share. That's a very decent purchase to our minds and it grew their holding by a solid 14%.

See our latest analysis for Antero Midstream

The Last 12 Months Of Insider Transactions At Antero Midstream

Over the last year, we can see that the biggest insider purchase was by CFO, VP of Finance & Treasurer Brendan Krueger for US$105k worth of shares, at about US$10.54 per share. That means that even when the share price was higher than US$10.00 (the recent price), an insider wanted to purchase shares. 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. We always take careful note of the price insiders pay when purchasing shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.

While Antero Midstream insiders bought shares during the last year, they didn't sell. 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!

NYSE:AM Insider Trading Volume March 17th 2023

Antero Midstream is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership Of Antero Midstream

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Antero Midstream insiders own 2.3% of the company, currently worth about US$112m based on the recent share price. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Does This Data Suggest About Antero Midstream Insiders?

The recent insider purchase is heartening. And the longer term insider transactions also give us confidence. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Antero Midstream. One for the watchlist, at least! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Antero Midstream. Every company has risks, and we've spotted 2 warning signs for Antero Midstream you should know about.

Of course Antero Midstream may not be the best stock to buy. So you may wish to see this free collection of high quality 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.

Valuation is complex, but we're helping make it simple.

Find out whether Antero Midstream is potentially over or undervalued by checking out our comprehensive analysis, which includes fair value estimates, risks and warnings, dividends, insider transactions and financial health.

View the Free Analysis