Potential Bausch Health Companies Inc. (NYSE:BHC) shareholders may wish to note that insider Richard DeSchutter recently bought US$185k worth of stock, paying US$21.00 for each share. While that's a very decent purchase to our minds, it was proportionally a bit modest, boosting their holding by just 3.1%.
Bausch Health Companies Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when CEO & Chairman of the Board Joseph Papa bought US$699k worth of shares at a price of US$23.31 per share. That means that an insider was happy to buy shares at above the current price of US$18.80. Their view may have changed since then, but at least it shows they felt optimistic at the time. We always take careful note of the price insiders pay when purchasing 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.
Happily, we note that in the last year insiders paid US$1.6m for 74.99k shares. But insiders sold 10773 shares worth US$235k. In the last twelve months there was more buying than selling by Bausch Health Companies insiders. 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!
Bausch Health Companies is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. Bausch Health Companies insiders own about US$38m worth of shares. That equates to 0.6% 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.
What Might The Insider Transactions At Bausch Health Companies Tell Us?
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 Bausch Health Companies shares, given these transactions (along with notable insider ownership of the company). So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. For example - Bausch Health Companies has 1 warning sign we think you should be aware of.
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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