ZoomInfo Technologies Founder Acquires 3.3% More Stock

ZoomInfo Technologies Inc. (NASDAQ:ZI) shareholders (or potential shareholders) will be happy to see that the Founder, Henry Schuck, recently bought a whopping US$5.0m worth of stock, at a price of US$10.25. There's no denying a buy of that magnitude suggests conviction in a brighter future, although we do note that proportionally it only increased their holding by 3.3%.

See our latest analysis for ZoomInfo Technologies

The Last 12 Months Of Insider Transactions At ZoomInfo Technologies

Notably, that recent purchase by Founder Henry Schuck was not the only time they bought ZoomInfo Technologies shares this year. They previously made an even bigger purchase of US$13m worth of shares at a price of US$8.49 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$10.62. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

Henry Schuck bought a total of 1.99m shares over the year at an average price of US$8.93. 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!

There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insider Ownership Of ZoomInfo 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. I reckon it's a good sign if insiders own a significant number of shares in the company. ZoomInfo Technologies insiders own 4.0% of the company, currently worth about US$137m 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.

What Might The Insider Transactions At ZoomInfo Technologies Tell Us?

The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. When combined with notable insider ownership, these factors suggest ZoomInfo Technologies insiders are well aligned, and quite possibly think the share price is too low. One for the watchlist, at least! While it's good to be aware of 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. You'd be interested to know, that we found 3 warning signs for ZoomInfo Technologies and we suggest you have a look.

Of course ZoomInfo Technologies 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.