The Independent Director of New Residential Investment Corp. (NYSE:NRZ), Robert McGinnis, Just Bought 7.9% More Shares
Whilst it may not be a huge deal, we thought it was good to see that the New Residential Investment Corp. (NYSE:NRZ) Independent Director, Robert McGinnis, recently bought US$71k worth of stock, for US$15.73 per share. That might not be a big purchase but it only increased their holding by 7.9%, and could be interpreted as a good sign.
Check out our latest analysis for New Residential Investment
New Residential Investment Insider Transactions Over The Last Year
Chairman Michael Nierenberg made the biggest insider purchase in the last 12 months. That single transaction was for US$990k worth of shares at a price of US$16.50 each. That means that even when the share price was higher than US$15.84 (the recent price), an insider wanted to purchase shares. 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. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.
New Residential Investment insiders may have bought shares in the last year, but they didn't sell any. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, 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
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. Insiders own 0.4% of New Residential Investment shares, worth about US$26m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
So What Do The New Residential Investment Insider Transactions Indicate?
It is good to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. Insiders likely see value in New Residential Investment shares, given these transactions (along with notable insider ownership of the company). Of course, the future is what matters most. So if you are interested in New Residential Investment, you should check out this free report on analyst forecasts for the company.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.
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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. Thank you for reading.
