Bullish Grindr Insiders Loaded Up On US$2.15m Of Stock

Over the last year, a good number of insiders have significantly increased their holdings in Grindr Inc. (NYSE:GRND). This is encouraging because it indicates that insiders are more optimistic about the company's prospects.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Grindr

Grindr Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when Director George Raymond Zage bought US$624k worth of shares at a price of US$7.80 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$10.38. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.

In the last twelve months insiders purchased 342.94k shares for US$2.2m. On the other hand they divested 663.48k shares, for US$418k. Overall, Grindr insiders were net buyers during the last year. Their average price was about US$6.27. 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. By clicking on the graph below, you can see the precise details of each insider transaction!

Grindr is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insider Ownership Of Grindr

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. It's great to see that Grindr insiders own 58% of the company, worth about US$1.1b. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Does This Data Suggest About Grindr Insiders?

The fact that there have been no Grindr insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. Judging from their transactions, and high insider ownership, Grindr insiders feel good about the company's future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Grindr. Every company has risks, and we've spotted 2 warning signs for Grindr you should know about.

Of course Grindr 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.