Lead Independent Director of FARO Technologies Picks Up 443% More Stock \
Potential FARO Technologies, Inc. (NASDAQ:FARO) shareholders may wish to note that the Lead Independent Director, Alexander Davern, recently bought US$269k worth of stock, paying US$11.19 for each share. We reckon that's a good sign, especially since the purchase boosted their holding by 443%.
See our latest analysis for FARO Technologies
FARO Technologies Insider Transactions Over The Last Year
In fact, the recent purchase by Alexander Davern was the biggest purchase of FARO Technologies shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at above the current price of US$10.92. Their view may have changed since then, but at least it shows they felt optimistic at the time. 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 FARO Technologies insiders bought shares during the last year, they didn't sell. 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!
FARO Technologies 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 FARO Technologies
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. Based on our data, FARO Technologies insiders have about 0.6% of the stock, worth approximately US$1.3m. I generally like to see higher levels of ownership.
So What Does This Data Suggest About FARO Technologies Insiders?
It's certainly positive to see the recent insider purchases. And the longer term insider transactions also give us confidence. But we don't feel the same about the fact the company is making losses. 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 FARO Technologies stock. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing FARO Technologies. Every company has risks, and we've spotted 3 warning signs for FARO Technologies you should know about.
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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