From what we can see, insiders were net buyers in Residential Secure Income plc's (LON:RESI ) during the past 12 months. That is, insiders acquired the stock in greater numbers than they sold it.
While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.
The Last 12 Months Of Insider Transactions At Residential Secure Income
In the last twelve months, the biggest single purchase by an insider was when Senior Independent Director of ReSI Capital Management Limited Robert Gray bought UK£55k worth of shares at a price of UK£1.11 per share. That means that an insider was happy to buy shares at above the current price of UK£1.03. Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. Robert Gray was the only individual insider to buy during the last year.
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!
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.
Insider Ownership of Residential Secure Income
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Our information indicates that Residential Secure Income insiders own about UK£434k worth of shares. It's always possible we are missing something but from our data, it looks like insider ownership is minimal.
So What Do The Residential Secure Income Insider Transactions Indicate?
It doesn't really mean much that no insider has traded Residential Secure Income shares in the last quarter. However, our analysis of transactions over the last year is heartening. While we have no worries about the insider transactions, we'd be more comfortable if they owned more Residential Secure Income stock. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Residential Secure Income. For example, Residential Secure Income has 4 warning signs (and 1 which doesn't sit too well with us) we think you should know about.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.
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.
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