Co-Chairman & CEO David Bistricer Just Bought 12% More Shares In Clipper Realty Inc. (NYSE:CLPR)
Those following along with Clipper Realty Inc. (NYSE:CLPR) will no doubt be intrigued by the recent purchase of shares by David Bistricer, Co-Chairman & CEO of the company, who spent a stonking US$611k on stock at an average price of US$5.73. Not only is that a big swing, but it increased their holding size by 12%, which is definitely great to see.
Check out our latest analysis for Clipper Realty
The Last 12 Months Of Insider Transactions At Clipper Realty
Notably, that recent purchase by David Bistricer is the biggest insider purchase of Clipper Realty shares that we've seen in the last year. That implies that an insider found the current price of US$6.74 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. Happily, the Clipper Realty insiders decided to buy shares at close to current prices.
Clipper Realty insiders may have bought shares in the last year, but they didn't sell any. They paid about US$6.90 on average. I'd consider this a positive as it suggests insiders see value at around the current price. The chart below shows insider transactions (by individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Clipper Realty 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 Clipper Realty
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. From our data, it seems that Clipper Realty insiders own 3.1% of the company, worth about US$9.3m. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!
So What Does This Data Suggest About Clipper Realty Insiders?
The recent insider purchases are heartening. 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. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Clipper Realty 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. To assist with this, we've discovered 3 warning signs that you should run your eye over to get a better picture of Clipper Realty.
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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