Bullish Lancaster Colony Insiders Loaded Up On US$522.5k Of Stock

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

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Lancaster Colony

The Last 12 Months Of Insider Transactions At Lancaster Colony

Over the last year, we can see that the biggest insider purchase was by Independent Director Elliot Fullen for US$507k worth of shares, at about US$169 per share. That implies that an insider found the current price of US$180 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. The good news for Lancaster Colony share holders is that insiders were buying at near the current price.

Over the last year, we can see that insiders have bought 3.08k shares worth US$522k. On the other hand they divested 1.21k shares, for US$233k. Overall, Lancaster Colony insiders were net buyers during the last year. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

Lancaster Colony is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.

Does Lancaster Colony Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Lancaster Colony insiders own about US$1.3b worth of shares (which is 26% of the company). Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At Lancaster Colony Tell Us?

The fact that there have been no Lancaster Colony insider transactions recently certainly doesn't bother us. But insiders have shown more of an appetite for the stock, over the last year. Judging from their transactions, and high insider ownership, Lancaster Colony insiders feel good about the company's future. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Lancaster Colony.

Of course Lancaster Colony 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 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.