Potential Dicker Data Limited (ASX:DDR) shareholders may wish to note that the COO & Executive Director, Vladimir Mitnovetski, recently bought AU$175k worth of stock, paying AU$9.98 for each share. Although the purchase only increased their holding by 2.2%, it is still a solid purchase in our view.
Dicker Data Insider Transactions Over The Last Year
Notably, that recent purchase by COO & Executive Director Vladimir Mitnovetski was not the only time they traded Dicker Data shares this year. They previously made a sale of -AU$367k worth of shares at a price of AU$14.69 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (AU$10.10). So it is hard to draw any strong conclusion from it.
Over the last year, we can see that insiders have bought 108.44k shares worth AU$1.2m. But they sold 35.00k shares for AU$512k. In total, Dicker Data insiders bought more than they sold over the last year. 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 Dicker Data Boast High Insider Ownership?
For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Dicker Data insiders own 64% of the company, currently worth about AU$1.2b based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
What Might The Insider Transactions At Dicker Data Tell Us?
It is good to see recent purchasing. And an analysis of the transactions over the last year also gives us confidence. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Dicker Data. That's what I like to see! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Dicker Data. For instance, we've identified 3 warning signs for Dicker Data (2 don't sit too well with us) you should be aware of.
Of course Dicker Data 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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