Yahoo Finance Bullish TriMas Corporation (NASDAQ:TRS) insiders were rewarded last week as their US$563k investment inflated to US$614k
Last week, TriMas Corporation (NASDAQ:TRS) insiders, who had purchased shares in the previous 12 months were rewarded handsomely. The shares increased by 5.5% last week, resulting in a US$62m increase in the company's market worth. As a result, the stock they originally bought for US$563k is now worth US$614k.
While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
See our latest analysis for TriMas
TriMas Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when Independent Director Teresa Finley bought US$250k worth of shares at a price of US$26.86 per share. That implies that an insider found the current price of US$28.00 per share to be enticing. 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. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. The good news for TriMas share holders is that insiders were buying at near the current price.
Happily, we note that in the last year insiders paid US$563k for 21.92k shares. On the other hand they divested 11.35k shares, for US$338k. In the last twelve months there was more buying than selling by TriMas insiders. 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!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Insiders At TriMas Have Bought Stock Recently
Over the last three months, we've seen significantly more insider buying, than insider selling, at TriMas. In fact, four insiders bought US$463k worth of shares. But Chief Financial Officer Scott Mell sold shares worth US$20k. We think insiders may be optimistic about the future, since insiders have been net buyers of shares.
Insider Ownership Of TriMas
For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. TriMas insiders own about US$17m worth of shares. That equates to 1.4% of the company. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
What Might The Insider Transactions At TriMas Tell Us?
The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. Given that insiders also own a fair bit of TriMas we think they are probably pretty confident of a bright 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. To assist with this, we've discovered 1 warning sign that you should run your eye over to get a better picture of TriMas.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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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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.
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