Insider Buying: The Repay Holdings Corporation (NASDAQ:RPAY) Independent Chairman of the Board Just Bought 8.1% More Shares
Those following along with Repay Holdings Corporation (NASDAQ:RPAY) will no doubt be intrigued by the recent purchase of shares by Peter Kight, Independent Chairman of the Board of the company, who spent a stonking US$1.1m on stock at an average price of US$9.75. While that only increased their holding size by 8.1%, it is still a big swing by our standards.
See our latest analysis for Repay Holdings
Repay Holdings Insider Transactions Over The Last Year
Notably, that recent purchase by Peter Kight is the biggest insider purchase of Repay Holdings shares that we've seen in the last year. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$9.72). 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. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.
In the last twelve months insiders purchased 266.34k shares for US$2.8m. On the other hand they divested 14.80k shares, for US$238k. Overall, Repay Holdings insiders were net buyers during the last year. You can see the insider transactions (by companies and 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!
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
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Repay Holdings insiders own about US$45m worth of shares. That equates to 4.8% of the company. 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 Repay Holdings Insider Transactions Indicate?
It is good to see the recent insider purchase. 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. When combined with notable insider ownership, these factors suggest Repay Holdings insiders are well aligned, and that they may think the share price is too low. If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.
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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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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