Insider Buying: The Norsk Hydro ASA (OB:NHY) Executive VP of Bauxite & Alumina and Member of Corporate Management Board Just Bought kr548k Worth Of Shares
Whilst it may not be a huge deal, we thought it was good to see that the Norsk Hydro ASA (OB:NHY) Executive VP of Bauxite & Alumina and Member of Corporate Management Board, John Thuestad, recently bought kr548k worth of stock, for kr27.42 per share. While that isn't the hugest buy, it actually boosted their shareholding by 66%, which is good to see.
See our latest analysis for Norsk Hydro
The Last 12 Months Of Insider Transactions At Norsk Hydro
Notably, that recent purchase by John Thuestad is the biggest insider purchase of Norsk Hydro shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of kr30.00. 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 Norsk Hydro share holders is that insiders were buying at near the current price.
Over the last year, we can see that insiders have bought 72.00k shares worth kr2.0m. But they sold 400 for kr13k. In the last twelve months there was more buying than selling by Norsk Hydro insiders. You can see the insider transactions (by individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
Norsk Hydro is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership of Norsk Hydro
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. Our data suggests Norsk Hydro insiders own 0.04% of the company, worth about kr25m. We prefer to see high levels of insider ownership.
So What Do The Norsk Hydro Insider Transactions Indicate?
It's certainly positive to see the recent insider purchases. We also take confidence from the longer term picture of insider transactions. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. Insiders likely see value in Norsk Hydro shares, given these transactions (along with notable insider ownership of the company). Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for Norsk Hydro.
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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