Chairman & CEO Amerino Gatti Just Bought Shares In Team, Inc. (NYSE:TISI)
Whilst it may not be a huge deal, we thought it was good to see that the Team, Inc. (NYSE:TISI) Chairman & CEO, Amerino Gatti, recently bought US$96k worth of stock, for US$7.38 per share. While we're hesitant to get too excited about a purchase of that size, we do note it increased their holding by a solid 16%.
Check out our latest analysis for Team
Team Insider Transactions Over The Last Year
Over the last year, we can see that the biggest insider purchase was by Independent Director Craig Martin for US$304k worth of shares, at about US$15.20 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$8.01). 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. To us, it's very important to consider the price insiders pay for shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.
Happily, we note that in the last year insiders paid US$538k for 41.50k shares. But they sold 17044 shares for US$273k. Overall, Team insiders were net buyers last year. They paid about US$12.97 on average. This is nice to see since it implies that insiders might see value around current prices. You can see the insider transactions (by 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
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Our data indicates that Team insiders own about US$7.6m worth of shares (which is 3.1% of the company). We do generally prefer see higher levels of insider ownership.
What Might The Insider Transactions At Team Tell Us?
The recent insider purchase is heartening. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Team insiders are expecting a bright future. 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. Every company has risks, and we've spotted 1 warning sign for Team 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.
If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. 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. Simply Wall St has no position in the stocks mentioned.
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