Yahoo Finance Possible turnaround for Tritax Big Box REIT plc (LON:BBOX) insiders, still down UK£408k after a UK£1.4m shopping spree
Some of the losses seen by insiders who purchased UK£1.4m worth of Tritax Big Box REIT plc (LON:BBOX) shares over the past year were recovered after the stock increased by 5.2% over the past week. The purchase, however, has proven to be a pricey bet, with losses currently totalling UK£408k.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
See our latest analysis for Tritax Big Box REIT
Tritax Big Box REIT Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when CEO of Tritax Management LLP Colin Godfrey bought UK£162k worth of shares at a price of UK£1.94 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being UK£1.46). It's very possible they regret the purchase, but it's more likely they are bullish about the company. In our view, the price an insider pays for shares is very important. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.
While Tritax Big Box REIT insiders bought shares during the last year, they didn't sell. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Tritax Big Box REIT is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
Insider Ownership Of Tritax Big Box REIT
Many investors like to check how much of a company is owned by insiders. 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 appears that Tritax Big Box REIT insiders own 0.4% of the company, worth about UK£12m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
So What Do The Tritax Big Box REIT Insider Transactions Indicate?
There haven't been any insider transactions in the last three months -- that doesn't mean much. However, our analysis of transactions over the last year is heartening. Overall we don't see anything to make us think Tritax Big Box REIT insiders are doubting the company, and they do own shares. 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. While conducting our analysis, we found that Tritax Big Box REIT has 2 warning signs and it would be unwise to ignore these.
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.
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