In This Article:
Multiple insiders secured a larger position in Clean Seas Seafood Limited (ASX:CSS) shares over the last 12 months. This is reassuring as this suggests that insiders have increased optimism about the company's prospects.
While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.
The Last 12 Months Of Insider Transactions At Clean Seas Seafood
Over the last year, we can see that the biggest insider purchase was by insider Anthony Hall for AU$1.4m worth of shares, at about AU$0.25 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being AU$0.13). 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. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.
Clean Seas Seafood insiders may have bought shares in the last year, but they didn't sell any. They paid about AU$0.18 on average. I'd consider this a positive as it suggests insiders see value at around the current price. The chart below shows insider transactions (by companies and 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!
See our latest analysis for Clean Seas Seafood
Clean Seas Seafood is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.
Clean Seas Seafood Insiders Bought Stock Recently
It's good to see that Clean Seas Seafood insiders have made notable investments in the company's shares. Specifically, insider Murray Gilbert bought AU$1.3m worth of shares in that time, and we didn't record any sales whatsoever. This could be interpreted as suggesting a positive outlook.
Does Clean Seas Seafood Boast High Insider Ownership?
For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Clean Seas Seafood insiders own 33% of the company, worth about AU$8.7m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.