Looking at Silverlake Axis Ltd's (SGX:5CP ) insider transactions over the last year, we can see that insiders were net buyers. That is, there were more number of shares purchased by insiders than there were sold.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
See our latest analysis for Silverlake Axis
The Last 12 Months Of Insider Transactions At Silverlake Axis
The Founder & Group Executive Chairman Peng Ooi Goh made the biggest insider purchase in the last 12 months. That single transaction was for S$9.2m worth of shares at a price of S$0.32 each. That means that an insider was happy to buy shares at around the current price of S$0.33. Of course they may have changed their mind. But this suggests they are optimistic. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. In this case we're pleased to report that the insider bought shares at close to current prices. Peng Ooi Goh was the only individual insider to buy shares in the last twelve months. We note that Peng Ooi Goh was both the biggest buyer and the biggest seller.
Peng Ooi Goh bought 57.48m shares over the last 12 months at an average price of S$0.32. You can see the insider transactions (by companies and 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!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Insider Ownership Of Silverlake Axis
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Silverlake Axis insiders own 78% of the company, worth about S$646m. 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 Do The Silverlake Axis Insider Transactions Indicate?
It doesn't really mean much that no insider has traded Silverlake Axis shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. With high insider ownership and encouraging transactions, it seems like Silverlake Axis insiders think the business has merit. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 1 warning sign for Silverlake Axis you should know about.