Potential Enstar Group Limited (NASDAQ:ESGR) shareholders may wish to note that the Independent Director, Hans-Peter Gerhardt, recently bought US$494k worth of stock, paying US$124 for each share. That's a very decent purchase to our minds and it grew their holding by a solid 47%.
The Last 12 Months Of Insider Transactions At Enstar Group
Notably, that recent purchase by Independent Director Hans-Peter Gerhardt was not the only time they bought Enstar Group shares this year. They previously made an even bigger purchase of US$1.0m worth of shares at a price of US$167 per share. That means that even when the share price was higher than US$135 (the recent price), an insider wanted to purchase shares. It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. Hans-Peter Gerhardt was the only individual insider to buy during the last year.
Hans-Peter Gerhardt bought a total of 10.00k shares over the year at an average price of US$150. The chart below shows insider transactions (by 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!
Enstar Group 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 of Enstar Group
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Enstar Group insiders own 4.6% of the company, currently worth about US$138m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
So What Does This Data Suggest About Enstar Group Insiders?
It's certainly positive to see the recent insider purchase. And the longer term insider transactions also give us confidence. When combined with notable insider ownership, these factors suggest Enstar Group insiders are well aligned, and quite possibly think the share price is too low. Looks promising! So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. For example - Enstar Group has 3 warning signs we think you should be aware of.
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. 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. Thank you for reading.