Yahoo Finance Multiple insiders bought Big Technologies plc (LON:BIG) stock earlier this year, a positive sign for shareholders
When a single insider purchases stock, it is typically not a major deal. However, when multiple insiders purchase stock, like in Big Technologies plc's (LON:BIG) instance, it's good news for shareholders.
Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.
View our latest analysis for Big Technologies
The Last 12 Months Of Insider Transactions At Big Technologies
In the last twelve months, the biggest single sale by an insider was when the CTO & Executive Director, Charles James Lewinton, sold UK£121k worth of shares at a price of UK£2.95 per share. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. It's of some comfort that this sale was conducted at a price well above the current share price, which is UK£2.64. So it is hard to draw any strong conclusion from it.
In the last twelve months insiders purchased 128.45k shares for UK£324k. On the other hand they divested 46.00k shares, for UK£135k. Overall, Big Technologies insiders were net buyers during the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Big Technologies is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Big Technologies Insiders Are Selling The Stock
Over the last three months, we've seen notably more insider selling, than insider buying, at Big Technologies. In total, CTO & Executive Director Charles James Lewinton sold UK£121k worth of shares in that time. On the flip side, CFO, Company Secretary & Executive Director Daren Morris spent UK£30k on purchasing shares. Generally this level of net selling might be considered a bit bearish.
Insider Ownership Of Big Technologies
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It's great to see that Big Technologies insiders own 28% of the company, worth about UK£216m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
So What Do The Big Technologies Insider Transactions Indicate?
The stark truth for Big Technologies is that there has been more insider selling than insider buying in the last three months. But we take heart from prior transactions. And insider ownership remains quite considerable. So the recent selling doesn't worry us. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Big Technologies. At Simply Wall St, we found 1 warning sign for Big Technologies that deserve your attention before buying any shares.
Of course Big Technologies 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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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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