Yahoo Finance Trade Alert: The Independent Director Of Ford Motor Company (NYSE:F), John Thornton, Has Just Spent US$100k Buying 3.5% More Shares
Investors who take an interest in Ford Motor Company (NYSE:F) should definitely note that the Independent Director, John Thornton, recently paid US$11.62 per share to buy US$100k worth of the stock. While that's a very decent purchase to our minds, it was proportionally a bit modest, boosting their holding by just 3.5%.
View our latest analysis for Ford Motor
The Last 12 Months Of Insider Transactions At Ford Motor
The President James Farley made the biggest insider purchase in the last 12 months. That single transaction was for US$1.0m worth of shares at a price of US$5.13 each. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$11.70. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
Ford Motor insiders may have bought shares in the last year, but they didn't sell any. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
Ford Motor is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership of Ford Motor
For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Ford Motor insiders own 1.2% of the company, worth about US$555m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Does This Data Suggest About Ford Motor Insiders?
It's certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. But on the other hand, the company made a loss during the last year, which makes us a little cautious. When combined with notable insider ownership, these factors suggest Ford Motor insiders are well aligned, and quite possibly think the share price is too low. That's what I like to see! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Ford Motor. Case in point: We've spotted 2 warning signs for Ford Motor you should be aware of, and 1 of these can't be ignored.
Of course Ford Motor 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.
This article by Simply Wall St is general in nature. 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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