CEO & President of Calavo Growers Lecil Cole Buys 17% More Shares
Calavo Growers, Inc. (NASDAQ:CVGW) shareholders (or potential shareholders) will be happy to see that the CEO & President, Lecil Cole, recently bought a whopping US$2.3m worth of stock, at a price of US$30.34. Aside from being a solid chunk in its own right, the deft move also saw their holding increase by some 17%.
View our latest analysis for Calavo Growers
The Last 12 Months Of Insider Transactions At Calavo Growers
In fact, the recent purchase by Lecil Cole was the biggest purchase of Calavo Growers 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 US$30.93. 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. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the Calavo Growers insiders decided to buy shares at close to current prices.
Happily, we note that in the last year insiders paid US$4.9m for 176.00k shares. On the other hand they divested 2.00k shares, for US$64k. Overall, Calavo Growers insiders were net buyers during the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Calavo Growers 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 Calavo Growers
For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. Calavo Growers insiders own about US$33m worth of shares. That equates to 5.9% of the company. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
What Might The Insider Transactions At Calavo Growers Tell Us?
It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. When combined with notable insider ownership, these factors suggest Calavo Growers insiders are well aligned, and that they may think the share price is too low. Of course, the future is what matters most. So if you are interested in Calavo Growers, you should check out this free report on analyst forecasts for the company.
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.
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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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