Insider Buying: The USA Truck, Inc. (NASDAQ:USAK) Executive VP & Chief Commercial Officer Just Bought 13% More Shares
Whilst it may not be a huge deal, we thought it was good to see that the USA Truck, Inc. (NASDAQ:USAK) Executive VP & Chief Commercial Officer, Timothy Guin, recently bought US$61k worth of stock, for US$6.13 per share. That purchase might not be huge but it did increase their holding by 13%.
See our latest analysis for USA Truck
The Last 12 Months Of Insider Transactions At USA Truck
In the last twelve months, the biggest single purchase by an insider was when insider Jason Bates bought US$126k worth of shares at a price of US$8.40 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$7.40). 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. 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.
In the last twelve months USA Truck insiders were buying shares, but not selling. The average buy price was around US$7.15. Although they bought at below the recent share price, it is good to see that insiders are willing to invest in the company. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).
Insider Ownership of USA Truck
For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 11% of USA Truck shares, worth about US$7.0m, according to our data. However, it's possible that insiders might have an indirect interest through a more complex structure. We do generally prefer see higher levels of insider ownership.
What Might The Insider Transactions At USA Truck Tell Us?
It's certainly positive to see the recent insider purchases. And the longer term insider transactions also give us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on USA Truck stock. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing USA Truck. Case in point: We've spotted 3 warning signs for USA Truck 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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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. 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. Thank you for reading.
