How Many Advance NanoTek Limited (ASX:ANO) Shares Did Insiders Buy, In The Last Year?
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It is not uncommon to see companies perform well in the years after insiders buy shares. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So before you buy or sell Advance NanoTek Limited (ASX:ANO), you may well want to know whether insiders have been buying or selling.
Do Insider Transactions Matter?
It's quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, rules govern insider transactions, and certain disclosures are required.
We don't think shareholders should simply follow insider transactions. But equally, we would consider it foolish to ignore insider transactions altogether. For example, a Columbia University study found that 'insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers'.
View our latest analysis for Advance NanoTek
Advance NanoTek Insider Transactions Over The Last Year
Non-Executive Chairman Lev Mizikovsky made the biggest insider purchase in the last 12 months. That single transaction was for AU$207k worth of shares at a price of AU$1.73 each. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of AU$4.94. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.
Over the last year, we can see that insiders have bought 235k shares worth AU$371k. On the other hand they divested 20000 shares, for AU$90k. Overall, Advance NanoTek insiders were net buyers last year. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
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).
Advance NanoTek Insiders Bought Stock Recently
Over the last three months, we've seen significantly more insider buying, than insider selling, at Advance NanoTek. In total, two insiders bought AU$298k worth of shares in that time. But we did see Geoffrey Acton sell shares worth AU$90k. We think insiders may be optimistic about the future, since insiders have been net buyers of shares.
Insider Ownership of Advance NanoTek
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. Advance NanoTek insiders own 63% of the company, currently worth about AU$169m based on the recent share price. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
So What Does This Data Suggest About Advance NanoTek Insiders?
The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Advance NanoTek. Looks promising! I like to dive deeper into how a company has performed in the past. You can access this interactive graph of past earnings, revenue and cash flow for free .
Of course Advance NanoTek may not be the best stock to buy. So you may wish to see this free collection of high quality companies.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. 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. Simply Wall St has no position in the stocks mentioned. Thank you for reading.
