We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So before you buy or sell Lok'nStore Group Plc (LON:LOK), you may well want to know whether insiders have been buying or selling.
What Is Insider Selling?
Most investors know that it is quite permissible for company leaders, such as directors of the board, to buy and sell stock in the company. However, such insiders must disclose their trading activities, and not trade on inside information.
We would never suggest that investors should base their decisions solely on what the directors of a company have been doing. But it is perfectly logical to keep tabs on what insiders are doing. As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise'.
View our latest analysis for Lok'nStore Group
Lok'nStore Group Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when Independent Non Executive Director Charles Peal bought UK£71k worth of shares at a price of UK£4.98 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of UK£6.75. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.
Happily, we note that in the last year insiders paid UK£161k for 30.95k shares. On the other hand they divested 5.00k shares, for UK£28k. In the last twelve months there was more buying than selling by Lok'nStore Group insiders. 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!
Lok'nStore Group is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Lok'nStore Group Insiders Bought Stock Recently
Over the last three months, we've seen significantly more insider buying, than insider selling, at Lok'nStore Group. In fact, two insiders bought UK£80k worth of shares. But Non-Executive Director Simon Thomas sold shares worth UK£28k. We think insiders may be optimistic about the future, since insiders have been net buyers of shares.