A MGP Ingredients, Inc. (NASDAQ:MGPI) insider increased their holdings by 0.3% last year
Looking at MGP Ingredients, Inc.'s (NASDAQ:MGPI ) insider transactions over the last year, we can see that insiders were net buyers. That is, there were more number of shares purchased by insiders than there were sold.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.
See our latest analysis for MGP Ingredients
The Last 12 Months Of Insider Transactions At MGP Ingredients
Over the last year, we can see that the biggest insider purchase was by Director Donn Lux for US$551k worth of shares, at about US$110 per share. That means that even when the share price was higher than US$95.61 (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. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. Donn Lux was the only individual insider to buy shares in the last twelve months.
Donn Lux bought a total of 20.00k shares over the year at an average price of US$97.80. The chart below shows insider transactions (by companies and individuals) over the last year. 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).
Does MGP Ingredients Boast High Insider Ownership?
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. MGP Ingredients insiders own about US$497m worth of shares (which is 24% of the company). 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 MGP Ingredients Insiders?
The fact that there have been no MGP Ingredients insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. With high insider ownership and encouraging transactions, it seems like MGP Ingredients insiders think the business has merit. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing MGP Ingredients. You'd be interested to know, that we found 1 warning sign for MGP Ingredients and we suggest you have a look.
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.
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