Shmuel Levinson Buys 10% More Sonida Senior Living Shares

Sonida Senior Living, Inc. (NYSE:SNDA) shareholders (or potential shareholders) will be happy to see that insider Shmuel Levinson recently bought a whopping US$6.8m worth of stock, at a price of US$27.00. Not only is that a big swing, but it increased their holding size by 10%, which is definitely great to see.

Check out our latest analysis for Sonida Senior Living

The Last 12 Months Of Insider Transactions At Sonida Senior Living

In fact, the recent purchase by Shmuel Levinson was the biggest purchase of Sonida Senior Living shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at around the current price of US$27.02. 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. 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. Happily, the Sonida Senior Living insiders decided to buy shares at close to current prices.

Happily, we note that in the last year insiders paid US$7.7m for 320.31k shares. On the other hand they divested 9.19k shares, for US$259k. In total, Sonida Senior Living insiders bought more than they sold over the last year. The average buy price was around US$23.92. To my mind it is good that insiders have invested their own money in the company. However, we do note that they were buying at significantly lower prices than today's share price. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Sonida Senior Living is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Insider Ownership Of Sonida Senior Living

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. We usually like to see fairly high levels of insider ownership. It appears that Sonida Senior Living insiders own 5.9% of the company, worth about US$29m. 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 Sonida Senior Living Insider Transactions Indicate?

It is good to see recent purchasing. And the longer term insider transactions also give us confidence. But we don't feel the same about the fact the company is making losses. When combined with notable insider ownership, these factors suggest Sonida Senior Living insiders are well aligned, and that they may think the share price is too low. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Sonida Senior Living. For instance, we've identified 2 warning signs for Sonida Senior Living (1 doesn't sit too well with us) you should be aware of.

Of course Sonida Senior Living 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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