In This Article:
Whilst it may not be a huge deal, we thought it was good to see that the Monash IVF Group Limited (ASX:MVF) Independent Non-Executive Director, Catherine Aston, recently bought AU$93k worth of stock, for AU$1.21 per share. Nevertheless, it only increased their shareholding by a minuscule percentage, and it wasn't a massive purchase by absolute value, either.
See our latest analysis for Monash IVF Group
The Last 12 Months Of Insider Transactions At Monash IVF Group
In fact, the recent purchase by Catherine Aston was the biggest purchase of Monash IVF Group shares made by an insider individual in the last twelve months, according to our records. That means that even when the share price was higher than AU$1.17 (the recent price), an insider wanted to purchase shares. 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. In our view, the price an insider pays for shares is very important. As a general rule, we feel more positive about a stock when an insider has bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price. The only individual insider to buy over the last year was Catherine Aston.
You can see the insider transactions (by companies and 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!
There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).
Does Monash IVF Group Boast High Insider Ownership?
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. From looking at our data, insiders own AU$5.4m worth of Monash IVF Group stock, about 1.2% of the company. I generally like to see higher levels of ownership.
What Might The Insider Transactions At Monash IVF Group Tell Us?
It's certainly positive to see the recent insider purchase. And the longer term insider transactions also give us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on Monash IVF Group stock. While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. At Simply Wall St, we found 1 warning sign for Monash IVF Group that deserve your attention before buying any shares.