In This Article:
Want to participate in a short research study? Help shape the future of investing tools and receive a $20 prize!
We’ve lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. The flip side of that is that there are more than a few examples of insiders dumping stock prior to a period of weak performance. So shareholders might well want to know whether insiders have been buying or selling shares in LIDDS AB (publ) (STO:LIDDS).
What Is Insider Selling?
It’s quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, most countries require that the company discloses such transactions to the market.
We would never suggest that investors should base their decisions solely on what the directors of a company have been doing. But equally, we would consider it foolish to ignore insider transactions altogether. For example, a Columbia University study found that ‘insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers’.
Check out our latest analysis for LIDDS
The Last 12 Months Of Insider Transactions At LIDDS
Over the last year, we can see that the biggest insider purchase was by Director Daniel Lifveredson for kr2.7m worth of shares, at about kr17.50 per share. That means that an insider was happy to buy shares at above the current price. 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. It’s not at all bad to see insiders buy shares at or above current prices.
In the last twelve months insiders paid kr4.0m for 228.74k shares purchased. Overall, LIDDS insiders were net buyers last year. Their average price was about kr17.49. I’d consider this a positive as it suggests insiders see value at around the current price, which is kr15.15. You can see the insider transactions (by individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
LIDDS is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insiders at LIDDS Have Bought Stock Recently
Over the last three months, we’ve seen significant insider buying at LIDDS. Specifically, Daniel Lifveredson bought kr2.7m worth of shares in that time, and we didn’t record any sales whatsoever. This is a positive in our book as it implies some confidence.