Insider Returns Down To US$63k As Duluth Holdings' Stock Dips 13%

Insiders who bought Duluth Holdings Inc. (NASDAQ:DLTH) in the last 12 months may probably not pay attention to the stock's recent 13% drop. Reason being, despite the recent loss, insiders original purchase value of US$176.2k is now worth US$239.3k.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

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The Last 12 Months Of Insider Transactions At Duluth Holdings

The Independent Director Brett Paschke made the biggest insider purchase in the last 12 months. That single transaction was for US$91k worth of shares at a price of US$1.81 each. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$2.75. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

In the last twelve months Duluth Holdings insiders were buying shares, but not selling. The average buy price was around US$2.03. It is certainly positive to see that insiders have invested their own money in the company. However, you should keep in mind that they bought when the share price was meaningfully below today's levels. 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!

Check out our latest analysis for Duluth Holdings

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

Duluth Holdings Insiders Bought Stock Recently

There was some insider buying at Duluth Holdings over the last quarter. Interim Chief Accounting Officer Heena Agrawal shelled out US$35k for shares in that time. It's great to see that insiders are only buying, not selling. However, in this case the amount invested recently is quite small.

Insider Ownership Of Duluth Holdings

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Duluth Holdings insiders own 43% of the company, worth about US$44m. 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 Do The Duluth Holdings Insider Transactions Indicate?

Insider purchases may have been minimal, in the last three months, but there was no selling at all. Overall the buying isn't worth writing home about. On a brighter note, the transactions over the last year are encouraging. Judging from their transactions, and high insider ownership, Duluth Holdings insiders feel good about the company's future. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. You'd be interested to know, that we found 1 warning sign for Duluth Holdings and we suggest you have a look.

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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.