Trade Alert: The Independent Chairman of the Board Of Luxfer Holdings PLC (NYSE:LXFR), Patrick Mullen, Has Just Spent US$100k Buying 496% More Shares
Even if it's not a huge purchase, we think it was good to see that Patrick Mullen, the Independent Chairman of the Board of Luxfer Holdings PLC (NYSE:LXFR) recently shelled out US$100k to buy stock, at US$16.12 per share. While that isn't the hugest buy, it actually boosted their shareholding by 496%, which is good to see.
Check out our latest analysis for Luxfer Holdings
The Last 12 Months Of Insider Transactions At Luxfer Holdings
In fact, the recent purchase by Patrick Mullen was the biggest purchase of Luxfer Holdings shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at around the current price of US$16.43. Of course they may have changed their mind. But this suggests they are optimistic. 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 Luxfer Holdings share holders is that insiders were buying at near the current price.
In the last twelve months insiders purchased 12.45k shares for US$219k. On the other hand they divested 550.00 shares, for US$11k. In the last twelve months there was more buying than selling by Luxfer Holdings insiders. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Luxfer Holdings is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Luxfer Holdings insiders own about US$10m worth of shares. That equates to 2.2% of the company. 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 Luxfer Holdings 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. Insiders likely see value in Luxfer Holdings shares, given these transactions (along with notable insider ownership of the company). While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. To assist with this, we've discovered 1 warning sign that you should run your eye over to get a better picture of Luxfer Holdings.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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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