Insiders made the right call by buying AU$4.5m Centuria Capital Group (ASX:CNI) stock this year, currently sit on AU$284k profit
Insiders who purchased Centuria Capital Group (ASX:CNI) shares in the past 12 months are unlikely to be deeply impacted by the stock's 4.5% decline over the past week. Even after accounting for the recent loss, the AU$4.5m worth of stock purchased by them is now worth AU$4.8m or in other words, their investment continues to give good returns.
Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.
Check out our latest analysis for Centuria Capital Group
The Last 12 Months Of Insider Transactions At Centuria Capital Group
The Joint CEO & Executive Director Jason Huljich made the biggest insider purchase in the last 12 months. That single transaction was for AU$3.3m worth of shares at a price of AU$2.65 each. So it's clear an insider wanted to buy, at around the current price, which is AU$2.94. Of course they may have changed their mind. But this suggests they are optimistic. 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. In this case we're pleased to report that the insider purchases were made at close to current prices.
In the last twelve months Centuria Capital Group insiders were buying shares, but not selling. 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!
Centuria Capital Group 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 Centuria Capital Group
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. Centuria Capital Group insiders own 6.7% of the company, currently worth about AU$156m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
So What Does This Data Suggest About Centuria Capital Group Insiders?
It doesn't really mean much that no insider has traded Centuria Capital Group shares in the last quarter. However, our analysis of transactions over the last year is heartening. Judging from their transactions, and high insider ownership, Centuria Capital Group insiders feel good about the company's future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Centuria Capital Group. Every company has risks, and we've spotted 2 warning signs for Centuria Capital Group you should know about.
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. 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.
