Blu Label Unlimited Group Co-Founder Acquires 6.9% More Stock

Those following along with Blu Label Unlimited Group Limited (JSE:BLU) will no doubt be intrigued by the recent purchase of shares by Brett Levy, Co-Founder of the company, who spent a stonking R57m on stock at an average price of R9.50. While that only increased their holding size by 6.9%, it is still a big swing by our standards.

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The Last 12 Months Of Insider Transactions At Blu Label Unlimited Group

Notably, that recent purchase by Brett Levy is the biggest insider purchase of Blu Label Unlimited Group shares that we've seen in the last year. So it's clear an insider wanted to buy, at around the current price, which is R9.69. 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. In this case we're pleased to report that the insider purchases were made at close to current prices.

Blu Label Unlimited Group insiders may have bought shares in the last year, but they didn't sell any. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

View our latest analysis for Blu Label Unlimited Group

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

Does Blu Label Unlimited Group Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. Blu Label Unlimited Group insiders own about R1.8b worth of shares (which is 21% of the company). I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At Blu Label Unlimited Group Tell Us?

It's certainly positive to see the recent insider purchases. And an analysis of the transactions over the last year also gives us confidence. When combined with notable insider ownership, these factors suggest Blu Label Unlimited Group 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. Every company has risks, and we've spotted 2 warning signs for Blu Label Unlimited Group you should know about.

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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.