This Raffles Education Insider Increased Their Holding In The Last Year
Insiders were net buyers of Raffles Education Limited's (SGX:NR7 ) stock during the past year. That is, insiders bought more stock than they sold.
While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
View our latest analysis for Raffles Education
The Last 12 Months Of Insider Transactions At Raffles Education
The Founder Hua Seng Chew made the biggest insider purchase in the last 12 months. That single transaction was for S$758k worth of shares at a price of S$0.055 each. So it's clear an insider wanted to buy, at around the current price, which is S$0.056. 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 do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. The good news for Raffles Education share holders is that an insider was buying at near the current price. The only individual insider to buy over the last year was Hua Seng Chew.
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!
Raffles Education 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.
Insider Ownership
Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Raffles Education insiders own about S$43m worth of shares (which is 56% 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.
What Might The Insider Transactions At Raffles Education Tell Us?
It doesn't really mean much that no insider has traded Raffles Education shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. With high insider ownership and encouraging transactions, it seems like Raffles Education insiders think the business has merit. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Raffles Education. To that end, you should learn about the 2 warning signs we've spotted with Raffles Education (including 1 which is significant).
But note: Raffles Education 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 of direct interests only, but not derivative transactions or indirect interests.
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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.
