Yahoo Finance Positive Signs As Multiple Insiders Buy Dexterra Group Stock
Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying, like in the case of Dexterra Group Inc. (TSE:DXT), it sends a favourable message to the company's shareholders.
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.
Check out our latest analysis for Dexterra Group
Dexterra Group Insider Transactions Over The Last Year
In fact, the recent purchase by Mark Becker was the biggest purchase of Dexterra Group shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at around the current price of CA$5.59. 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. The good news for Dexterra Group share holders is that insiders were buying at near the current price.
Over the last year, we can see that insiders have bought 81.57k shares worth CA$445k. But insiders sold 11.85k shares worth CA$66k. In total, Dexterra Group insiders bought more than they sold over the last year. 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!
Dexterra 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.
Insiders At Dexterra Group Have Bought Stock Recently
At Dexterra Group,over the last quarter, we have observed quite a lot more insider buying than insider selling. In fact, seven insiders bought CA$389k worth of shares. On the other hand, President of Workforce Accommodations Jeff Litchfield netted CA$11k by selling. The buying outweighs the selling, which suggests that insiders may believe the company will do well in the future.
Insider Ownership
For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. From our data, it seems that Dexterra Group insiders own 1.9% of the company, worth about CA$6.9m. However, it's possible that insiders might have an indirect interest through a more complex structure. We do generally prefer see higher levels of insider ownership.
So What Do The Dexterra Group Insider Transactions Indicate?
The recent insider purchases are heartening. And an analysis of the transactions over the last year also gives us confidence. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Dexterra Group insiders are expecting a bright future. While we like knowing 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. Case in point: We've spotted 2 warning signs for Dexterra Group you should be aware of.
But note: Dexterra Group 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 of direct interests only, but not derivative transactions or indirect interests.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.
