President Paul Pickle Just Bought 3.1% More Shares In Lantronix, Inc. (NASDAQ:LTRX)
Potential Lantronix, Inc. (NASDAQ:LTRX) shareholders may wish to note that the President, Paul Pickle, recently bought US$100k worth of stock, paying US$7.71 for each share. While that's a very decent purchase to our minds, it was proportionally a bit modest, boosting their holding by just 3.1%.
See our latest analysis for Lantronix
Lantronix Insider Transactions Over The Last Year
Notably, that recent purchase by President Paul Pickle was not the only time they bought Lantronix shares this year. They previously made an even bigger purchase of US$198k worth of shares at a price of US$4.96 per share. Even though the purchase was made at a significantly lower price than the recent price (US$7.38), we still think insider buying is a positive. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.
Paul Pickle bought a total of 53.00k shares over the year at an average price of US$5.63. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. 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).
Insider Ownership
Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Lantronix insiders own 3.9% of the company, worth about US$10m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Do The Lantronix Insider Transactions Indicate?
It's certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Given that insiders also own a fair bit of Lantronix we think they are probably pretty confident of a bright future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 2 warning signs for Lantronix you should know about.
Of course Lantronix 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.
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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