The MD, CEO & Executive Director of Washington H. Soul Pattinson and Company Limited (ASX:SOL), Todd Barlow, Just Bought 248% More Shares
Washington H. Soul Pattinson and Company Limited (ASX:SOL) shareholders (or potential shareholders) will be happy to see that the MD, CEO & Executive Director, Todd Barlow, recently bought a whopping AU$3.0m worth of stock, at a price of AU$28.98. That purchase boosted their holding by 248%, which makes us wonder if the move was inspired by quietly confident deeply-felt optimism.
View our latest analysis for Washington H. Soul Pattinson
The Last 12 Months Of Insider Transactions At Washington H. Soul Pattinson
Notably, that recent purchase by Todd Barlow is the biggest insider purchase of Washington H. Soul Pattinson shares that we've seen in the last year. That means that even when the share price was higher than AU$28.90 (the recent price), an insider wanted to purchase shares. 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 is very important. 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.
Washington H. Soul Pattinson insiders may have bought shares in the last year, but they didn't sell any. They paid about AU$23.19 on average. These transactions show that insiders have confidence to invest their own money in the stock, albeit at slightly below the recent price. 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 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).
Does Washington H. Soul Pattinson Boast High Insider Ownership?
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. Washington H. Soul Pattinson insiders own 6.6% of the company, currently worth about AU$452m 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.
What Might The Insider Transactions At Washington H. Soul Pattinson Tell Us?
It's certainly positive to see the recent insider purchases. We also take confidence from the longer term picture of insider transactions. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Washington H. Soul Pattinson. One for the watchlist, at least! 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 help with this, we've discovered 3 warning signs (1 is significant!) that you ought to be aware of before buying any shares in Washington H. Soul Pattinson.
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.
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.
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