AMG Critical Materials N.V. (AMS:AMG) shareholders (or potential shareholders) will be happy to see that the Chairman of the Management Board & CEO, Heinz Schimmelbusch, recently bought a whopping €935k worth of stock, at a price of €20.54. While that only increased their holding size by 3.8%, it is still a big swing by our standards.
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The Last 12 Months Of Insider Transactions At AMG Critical Materials
In fact, the recent purchase by Heinz Schimmelbusch was the biggest purchase of AMG Critical Materials shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at above the current price of €20.14. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.
In the last twelve months AMG Critical Materials insiders were buying shares, but not selling. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
AMG Critical Materials 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
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 5.8% of AMG Critical Materials shares, worth about €37m. 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 Do The AMG Critical Materials Insider Transactions Indicate?
The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. When combined with notable insider ownership, these factors suggest AMG Critical Materials 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. To assist with this, we've discovered 3 warning signs that you should run your eye over to get a better picture of AMG Critical Materials.