Even if it's not a huge purchase, we think it was good to see that Joseph Daly, the Independent Director of Image Sensing Systems, Inc. (NASDAQ:ISNS) recently shelled out US$50k to buy stock, at US$6.79 per share. However, it only increased their shares held by 8.0%, and it wasn't a huge purchase by absolute value, either.
The Last 12 Months Of Insider Transactions At Image Sensing Systems
In fact, the recent purchase by Independent Director Joseph Daly was not their only acquisition of Image Sensing Systems shares this year. They previously made an even bigger purchase of US$102k worth of shares at a price of US$4.10 per share. We do like to see buying, but this purchase was made at well below the current price of US$6.77. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
While Image Sensing Systems insiders bought shares during the last year, they didn't sell. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Image Sensing Systems 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 Image Sensing Systems
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 31% of Image Sensing Systems shares, worth about US$12m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Does This Data Suggest About Image Sensing Systems Insiders?
The recent insider purchases are heartening. We also take confidence from the longer term picture of insider transactions. When combined with notable insider ownership, these factors suggest Image Sensing Systems 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 Image Sensing Systems. You'd be interested to know, that we found 4 warning signs for Image Sensing Systems and we suggest you have a look.
Of course Image Sensing Systems 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, but not derivative transactions.
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