In This Article:
Multiple insiders secured a larger position in Clime Investment Management Limited (ASX:CIW) shares over the last 12 months. This is reassuring as this suggests that insiders have increased optimism about the company's prospects.
Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.
See our latest analysis for Clime Investment Management
Clime Investment Management Insider Transactions Over The Last Year
The insider Wen Ding made the biggest insider purchase in the last 12 months. That single transaction was for AU$2.7m worth of shares at a price of AU$0.35 each. That means that even when the share price was higher than AU$0.34 (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. To us, it's very important to consider the price insiders pay for 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.
Over the last year, we can see that insiders have bought 8.71m shares worth AU$2.9m. But they sold 3.42m shares for AU$1.1m. In total, Clime Investment Management insiders bought more than they sold over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
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).
Insiders At Clime Investment Management Have Bought Stock Recently
Over the last three months, we've seen significant insider buying at Clime Investment Management. Specifically, Founder & Non-Independent Executive Chairman John Abernethy bought AU$123k worth of shares in that time, and we didn't record any sales whatsoever. This makes one think the business has some good points.
Insider Ownership Of Clime Investment Management
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Clime Investment Management insiders own 26% of the company, worth about AU$6.8m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.