President of Conduent Clifford Skelton Buys 1.0% More Shares \
Investors who take an interest in Conduent Incorporated (NASDAQ:CNDT) should definitely note that the President, Clifford Skelton, recently paid US$2.91 per share to buy US$100k worth of the stock. Although the purchase only increased their holding by 1.0%, it is still a solid purchase in our view.
See our latest analysis for Conduent
Conduent Insider Transactions Over The Last Year
Notably, that recent purchase by President Clifford Skelton was not the only time they bought Conduent shares this year. Earlier in the year, they paid US$4.23 per share in a US$202k purchase. That means that even when the share price was higher than US$2.93 (the recent price), an insider wanted to purchase shares. 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. We always take careful note of the price insiders pay when purchasing shares. 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.
Conduent insiders may have bought shares in the last year, but they didn't sell any. The average buy price was around US$3.69. This is nice to see since it implies that insiders might see value around current prices. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
Conduent is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
Does Conduent 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. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 5.8% of Conduent shares, worth about US$37m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
So What Does This Data Suggest About Conduent Insiders?
The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. Given that insiders also own a fair bit of Conduent we think they are probably pretty confident of a bright future. Of course, the future is what matters most. So if you are interested in Conduent, you should check out this free report on analyst forecasts for the company.
Of course Conduent 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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