Even if it's not a huge purchase, we think it was good to see that Patrick Meade, the Independent Non Executive Director of NMC Health Plc (LON:NMC) recently shelled out UK£50k to buy stock, at UK£13.78 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 32%.
The Last 12 Months Of Insider Transactions At NMC Health
In fact, the recent purchase by Patrick Meade was the biggest purchase of NMC Health shares made by an insider individual in the last twelve months, according to our records. That implies that an insider found the current price of UK£15.58 per share to be enticing. 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. 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. The good news for NMC Health share holders is that an insider was buying at near the current price. Patrick Meade was the only individual insider to buy shares in the last twelve months.
Patrick Meade bought a total of 8.24k shares over the year at an average price of UK£15.13. You can see the insider transactions (by individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
NMC Health 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 NMC Health
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. NMC Health insiders own about UK£1.1b worth of shares (which is 33% of the company). 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 Do The NMC Health Insider Transactions Indicate?
It's certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about NMC Health. That's what I like to see! Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for NMC Health.
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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