Multiple insiders secured a larger position in AMG Critical Materials N.V. (AMS:AMG) shares over the last 12 months. This is reassuring as this suggests that insiders have increased optimism about the company's prospects.
While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.
See our latest analysis for AMG Critical Materials
The Last 12 Months Of Insider Transactions At AMG Critical Materials
The Chairman of the Management Board & CEO Heinz Schimmelbusch made the biggest insider purchase in the last 12 months. That single transaction was for €1.0m worth of shares at a price of €26.28 each. We do like to see buying, but this purchase was made at well below the current price of €38.71. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.
AMG Critical Materials insiders may have bought shares in the last year, but they didn't sell any. 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. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).
Have AMG Critical Materials Insiders Traded Recently?
Independent Chairman of the Supervisory Board Steve Hanke bought just €938 worth of shares in that time. That's not much at all. Looking at the net result, we don't think these recent trades shed much light on how insiders, as a group, are feeling about the company's prospects.
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. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that AMG Critical Materials insiders own 5.9% of the company, worth about €72m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
What Might The Insider Transactions At AMG Critical Materials Tell Us?
Our data shows a little insider buying, but no selling, in the last three months. The net investment is not enough to encourage us much. But insiders have shown more of an appetite for the stock, over the last year. Overall we don't see anything to make us think AMG Critical Materials insiders are doubting the company, and they do own shares. 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. For example - AMG Critical Materials has 1 warning sign we think you should be aware of.