Potential Sabre Corporation (NASDAQ:SABR) shareholders may wish to note that the CFO & Executive VP, Michael Randolfi, recently bought US$479k worth of stock, paying US$4.79 for each share. We reckon that's a good sign, especially since the purchase boosted their holding by 92%.
The Last 12 Months Of Insider Transactions At Sabre
Notably, that recent purchase by Michael Randolfi is the biggest insider purchase of Sabre shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of US$5.25. 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. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. In this case we're pleased to report that the insider bought shares at close to current prices. Michael Randolfi was the only individual insider to buy shares in the last twelve months.
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!
Sabre 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.
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. From our data, it seems that Sabre insiders own 0.5% of the company, worth about US$9.2m. We do generally prefer see higher levels of insider ownership.
What Might The Insider Transactions At Sabre Tell Us?
It's certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Sabre insiders are expecting a bright future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we've found that Sabre has 2 warning signs (1 is potentially serious!) that deserve your attention before going any further with your analysis.
But note: Sabre 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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