Piedmont Office Realty Trust, Inc. (NYSE:PDM) up 4.8%, but insiders are still down 25% after purchasing US$785k of stock last year
Insiders who purchased US$785k worth of Piedmont Office Realty Trust, Inc. (NYSE:PDM) shares over the past year recouped some of their losses after price gained 4.8% last week. However, total losses seen by insiders are still US$193k since the time of purchase.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
View our latest analysis for Piedmont Office Realty Trust
The Last 12 Months Of Insider Transactions At Piedmont Office Realty Trust
In the last twelve months, the biggest single purchase by an insider was when Independent Director Jeffrey Swope bought US$500k worth of shares at a price of US$11.90 per share. That means that even when the share price was higher than US$9.57 (the recent price), an insider wanted to purchase shares. Their view may have changed since then, but at least it shows they felt optimistic at the time. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.
Over the last year, we can see that insiders have bought 61.83k shares worth US$785k. But they sold 7.63k shares for US$123k. In the last twelve months there was more buying than selling by Piedmont Office Realty Trust insiders. 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 Piedmont Office Realty Trust Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Piedmont Office Realty Trust insiders own 1.3% of the company, worth about US$15m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
What Might The Insider Transactions At Piedmont Office Realty Trust Tell Us?
It doesn't really mean much that no insider has traded Piedmont Office Realty Trust shares in the last quarter. However, our analysis of transactions over the last year is heartening. Insiders own shares in Piedmont Office Realty Trust and we see no evidence to suggest they are worried about the future. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Every company has risks, and we've spotted 4 warning signs for Piedmont Office Realty Trust (of which 2 are a bit unpleasant!) you should know about.
Of course Piedmont Office Realty Trust 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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