Whilst it may not be a huge deal, we thought it was good to see that the Odyssey Marine Exploration, Inc. (NASDAQ:OMEX) Lead Director, Mark Justh, recently bought US$83k worth of stock, for US$3.19 per share. While we're hesitant to get too excited about a purchase of that size, we do note it increased their holding by a solid 15%.
Odyssey Marine Exploration Insider Transactions Over The Last Year
In fact, the recent purchase by Lead Director Mark Justh was not their only acquisition of Odyssey Marine Exploration shares this year. Earlier in the year, they paid US$5.12 per share in a US$102k purchase. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$3.30). It's very possible they regret the purchase, but it's more likely they are bullish about the company. To us, it's very important to consider the price insiders pay for shares is very important. 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. Mark Justh was the only individual insider to buy shares in the last twelve months.
Mark Justh bought 69.52k shares over the last 12 months at an average price of US$4.27. You can see the insider transactions (by individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
Odyssey Marine Exploration 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 Odyssey Marine Exploration
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. We usually like to see fairly high levels of insider ownership. Insiders own 13% of Odyssey Marine Exploration shares, worth about US$3.9m, according to our data. Whilst better than nothing, we're not overly impressed by these holdings.
So What Do The Odyssey Marine Exploration Insider Transactions Indicate?
It is good to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Odyssey Marine Exploration insiders are expecting a bright future. Along with insider transactions, I recommend checking if Odyssey Marine Exploration is growing revenue. This free chart of historic revenue and earnings should make that easy.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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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