Insider Spends UK£194k Buying More Shares In Watkin Jones
Potential Watkin Jones Plc (LON:WJG) shareholders may wish to note that the Independent Non-Executive Chairman, Alan Clifford Giddins, recently bought UK£194k worth of stock, paying UK£0.47 for each share. We reckon that's a good sign, especially since the purchase boosted their holding by 226%.
View our latest analysis for Watkin Jones
The Last 12 Months Of Insider Transactions At Watkin Jones
Notably, that recent purchase by Alan Clifford Giddins is the biggest insider purchase of Watkin Jones 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 UK£0.45). It's very possible they regret the purchase, but it's more likely they are bullish about the company. To us, it's very important to consider the price insiders pay for shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.
While Watkin Jones insiders bought shares during the last year, they didn't sell. They paid about UK£0.66 on average. These transactions suggest that insiders have considered the current price attractive. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
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 Of Watkin Jones
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. Our data isn't picking up on much insider ownership at Watkin Jones, though insiders do hold about UK£430k worth of shares. However, it's possible that insiders might have an indirect interest through a more complex structure. It's always possible we are missing something but from our data, it looks like insider ownership is minimal.
So What Does This Data Suggest About Watkin Jones Insiders?
It is good to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. 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 Watkin Jones stock. 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. To that end, you should learn about the 2 warning signs we've spotted with Watkin Jones (including 1 which doesn't sit too well with us).
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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
