Investors who take an interest in Inland Homes plc (LON:INL) should definitely note that the CEO & Executive Director, Stephen Wicks, recently paid UK£0.40 per share to buy UK£80k worth of the stock. While that's a very decent purchase to our minds, it was proportionally a bit modest, boosting their holding by just 1.1%.
View our latest analysis for Inland Homes
Inland Homes Insider Transactions Over The Last Year
Notably, that recent purchase by Stephen Wicks is the biggest insider purchase of Inland Homes shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of UK£0.41. Of course they may have changed their mind. But this suggests they are optimistic. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. In this case we're pleased to report that the insider bought shares at close to current prices. Stephen Wicks was the only individual insider to buy shares in the last twelve months.
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!
Inland Homes 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
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 17% of Inland Homes shares, worth about UK£16m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Do The Inland Homes 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. When combined with notable insider ownership, these factors suggest Inland Homes insiders are well aligned, and that they may think the share price is too low. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we found 2 warning signs for Inland Homes that deserve your attention before buying any shares.
But note: Inland Homes may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.