Yahoo Finance Insider Buying: The Fortis Inc. (TSE:FTS) Executive Vice President of Western Utility Operations Just Bought CA$586k Worth Of Shares
Potential Fortis Inc. (TSE:FTS) shareholders may wish to note that the Executive Vice President of Western Utility Operations, David Hutchens, recently bought CA$586k worth of stock, paying CA$53.30 for each share. That's a very solid buy in our book, and increased their holding by a noteworthy 43%.
See our latest analysis for Fortis
The Last 12 Months Of Insider Transactions At Fortis
Over the last year, we can see that the biggest insider sale was by the insider, Phonse Delaney, for CA$746k worth of shares, at about CA$48.15 per share. That means that even when the share price was below the current price of CA$54.37, an insider wanted to cash in some shares. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. We note that the biggest single sale was only 24% of Phonse Delaney's holding.
In the last twelve months insiders purchased 25.37k shares for CA$1.3m. On the other hand they divested 15783 shares, for CA$762k. In total, Fortis insiders bought more than they sold over the last year. You can see a visual depiction of insider transactions (by 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.
Does Fortis 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. It's great to see that Fortis insiders own 0.5% of the company, worth about CA$132m. 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 Fortis Tell Us?
It is good to see recent purchasing. And the longer term insider transactions also give us confidence. When combined with notable insider ownership, these factors suggest Fortis insiders are well aligned, and quite possibly think the share price is too low. Looks promising! Of course, the future is what matters most. So if you are interested in Fortis, you should check out this free report on analyst forecasts for the company.
Of course Fortis 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.
If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.
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