Trade Alert: The Chief Strategy Officer & Director Of Immersion Corporation (NASDAQ:IMMR), William Martin, Has Just Spent US$624k Buying 27% More Shares
Immersion Corporation (NASDAQ:IMMR) shareholders (or potential shareholders) will be happy to see that the Chief Strategy Officer & Director, William Martin, recently bought a whopping US$624k worth of stock, at a price of US$5.32. Not only is that a big swing, but it increased their holding size by 27%, which is definitely great to see.
See our latest analysis for Immersion
Immersion Insider Transactions Over The Last Year
The Executive Chairperson Eric Singer made the biggest insider purchase in the last 12 months. That single transaction was for US$744k worth of shares at a price of US$5.28 each. That implies that an insider found the current price of US$5.69 per share to be enticing. 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. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. Happily, the Immersion insiders decided to buy shares at close to current prices.
While Immersion insiders bought shares during the last year, they didn't sell. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Immersion 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
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Our data indicates that Immersion insiders own about US$7.1m worth of shares (which is 3.7% of the company). We do generally prefer see higher levels of insider ownership.
What Might The Insider Transactions At Immersion Tell Us?
It is good to see recent purchasing. And an analysis of the transactions over the last year also gives us confidence. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that Immersion insiders are reasonably well aligned, and optimistic for the 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. At Simply Wall St, we found 1 warning sign for Immersion that deserve your attention before buying any shares.
But note: Immersion 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, 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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