Lok'nStore Group Plc (LON:LOK) shareholders (or potential shareholders) will be happy to see that the Non Executive Director, Charles Peal, recently bought a whopping UK£549k worth of stock, at a price of UK£5.64. Not only is that a big swing, but it increased their holding size by 18%, which is definitely great to see.
The Last 12 Months Of Insider Transactions At Lok'nStore Group
In the last twelve months, the biggest single sale by an insider was when the Non-Executive Chairman, Simon Thomas, sold UK£1.2m worth of shares at a price of UK£4.65 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of UK£6.30. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. We note that the biggest single sale was only 14% of Simon Thomas's holding.
Over the last year we saw more insider selling of Lok'nStore Group shares, than buying. You can see the insider transactions (by individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).
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. It appears that Lok'nStore Group insiders own 27% of the company, worth about UK£48m. 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 Does This Data Suggest About Lok'nStore Group Insiders?
The recent insider purchase is heartening. But we can't say the same for the transactions over the last 12 months. The more recent transactions are a positive, but Lok'nStore Group insiders haven't shown the sustained enthusiasm that we look for, although they do own a decent number of shares, overall. In short they are likely aligned with shareholders. Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for Lok'nStore Group.
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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If you spot an error that warrants correction, please contact the editor at email@example.com. 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. Simply Wall St has no position in the stocks mentioned. Thank you for reading.