One Montrose Environmental Group, Inc. (NYSE:MEG) insider upped their stake by 2.5% in the previous year
Viewing insider transactions for Montrose Environmental Group, Inc.'s (NYSE:MEG ) over the last year, we see that insiders were net buyers. This means that a larger number of shares were purchased by insiders in relation to shares 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.
View our latest analysis for Montrose Environmental Group
The Last 12 Months Of Insider Transactions At Montrose Environmental Group
Over the last year, we can see that the biggest insider purchase was by Independent Director James Price for US$1.0m worth of shares, at about US$41.90 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$53.68. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
James Price bought a total of 50.15k shares over the year at an average price of US$40.83. 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!
Montrose Environmental Group is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Does Montrose Environmental Group Boast High Insider Ownership?
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. Montrose Environmental Group insiders own about US$121m worth of shares (which is 7.6% of the company). 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 Montrose Environmental Group Insiders?
It doesn't really mean much that no insider has traded Montrose Environmental Group shares in the last quarter. However, our analysis of transactions over the last year is heartening. With high insider ownership and encouraging transactions, it seems like Montrose Environmental Group insiders think the business has merit. 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. You'd be interested to know, that we found 1 warning sign for Montrose Environmental Group and we suggest you have a look.
Of course Montrose Environmental Group may not be the best stock to buy. So you may wish to see this free collection of high quality 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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