Insider Spends US$127k Buying More Shares In Westrock Coffee

Potential Westrock Coffee Company (NASDAQ:WEST) shareholders may wish to note that the Group President?Operations of Westrock Beverage Solutions, William Ford, recently bought US$127k worth of stock, paying US$4.48 for each share. Although the purchase only increased their holding by 6.2%, it is still a solid purchase in our view.

Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit.

Westrock Coffee Insider Transactions Over The Last Year

The Independent Director R. Kruczek made the biggest insider purchase in the last 12 months. That single transaction was for US$1.0m worth of shares at a price of US$7.01 each. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$3.92). It's very possible they regret the purchase, but it's more likely they are bullish about the company. In our view, the price an insider pays for shares is very important. 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.

Westrock Coffee insiders may have bought shares in the last year, but they didn't sell any. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

See our latest analysis for Westrock Coffee

Westrock Coffee 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 Westrock Coffee Boast High Insider Ownership?

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Westrock Coffee insiders own about US$67m worth of shares. That equates to 17% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The Westrock Coffee Insider Transactions Indicate?

The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Given that insiders also own a fair bit of Westrock Coffee we think they are probably pretty confident of a bright future. Of course, the future is what matters most. So if you are interested in Westrock Coffee, 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.