Yahoo Finance Bullish Tritax Big Box REIT plc (LON:BBOX) insiders filled their treasuries with UK£822k worth of stock over last year
When a single insider purchases stock, it is typically not a major deal. However, when multiple insiders purchase stock, like in Tritax Big Box REIT plc's (LON:BBOX) instance, it's good news for shareholders.
Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.
View our latest analysis for Tritax Big Box REIT
The Last 12 Months Of Insider Transactions At Tritax Big Box REIT
Over the last year, we can see that the biggest insider purchase was by Partner James Dunlop for UK£270k worth of shares, at about UK£1.70 per share. Even though the purchase was made at a significantly lower price than the recent price (UK£2.33), we still think insider buying is a positive. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.
In the last twelve months Tritax Big Box REIT insiders were buying shares, but not selling. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Tritax Big Box REIT is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Does Tritax Big Box REIT Boast High Insider Ownership?
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Tritax Big Box REIT insiders own about UK£23m worth of shares. That equates to 0.5% 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 Tritax Big Box REIT Tell Us?
The fact that there have been no Tritax Big Box REIT insider transactions recently certainly doesn't bother us. But insiders have shown more of an appetite for the stock, over the last year. Insiders do have a stake in Tritax Big Box REIT and their transactions don't cause us concern. 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. Be aware that Tritax Big Box REIT is showing 5 warning signs in our investment analysis, and 2 of those are concerning...
But note: Tritax Big Box REIT may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.
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.
