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Those following along with Vp plc (LON:VP.) will no doubt be intrigued by the recent purchase of shares by Jeremy F. Pilkington, Executive Chairman of the company, who spent a stonking UK£568k on stock at an average price of UK£5.67. That purchase boosted their holding by 342%, which makes us wonder if the move was inspired by quietly confident deeply-felt optimism.
See our latest analysis for Vp
The Last 12 Months Of Insider Transactions At Vp
In fact, the recent purchase by Jeremy F. Pilkington was the biggest purchase of Vp shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is UK£6.00. 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. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the Vp insider decided to buy shares at close to current prices. The only individual insider to buy over the last year was Jeremy F. Pilkington.
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 undervalued small cap companies that insiders are buying.
Does Vp Boast High 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. Our information indicates that Vp insiders own about UK£802k worth of shares. However, it's possible that insiders might have an indirect interest through a more complex structure. This level of insider ownership is notably low, and not very encouraging.
So What Do The Vp Insider Transactions Indicate?
It's certainly positive to see the recent insider purchase. And the longer term insider transactions also give us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Vp insiders are expecting a bright future. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. Case in point: We've spotted 2 warning signs for Vp you should be aware of, and 1 of these is a bit concerning.