Multiple insiders bought Crawford & Company (NYSE:CRD.B) stock earlier this year, a positive sign for shareholders
Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying, like in the case of Crawford & Company (NYSE:CRD.B), it sends a favourable message to the company's shareholders.
While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.
Check out our latest analysis for Crawford
Crawford Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when Independent Director Jesse Crawford bought US$74k worth of shares at a price of US$7.40 per share. That implies that an insider found the current price of US$7.64 per share to be enticing. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the Crawford insiders decided to buy shares at close to current prices.
In the last twelve months Crawford insiders were buying shares, but not selling. They paid about US$8.54 on average. I'd consider this a positive as it suggests insiders see value at around the current 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!
Crawford is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Crawford Insiders Bought Stock Recently
Over the last three months, we've seen significant insider buying at Crawford. Not only was there no selling that we can see, but they collectively bought US$81k worth of shares. This could be interpreted as suggesting a positive outlook.
Does Crawford 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. Crawford insiders own about US$211m worth of shares (which is 53% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
What Might The Insider Transactions At Crawford Tell Us?
The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Crawford. Looks promising! 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. In terms of investment risks, we've identified 2 warning signs with Crawford and understanding them should be part of your investment process.
But note: Crawford may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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.
