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Those following along with Fevertree Drinks PLC (LON:FEVR) will no doubt be intrigued by the recent purchase of shares by Kevin Havelock, Senior Independent Non-Executive Director of the company, who spent a stonking UK£945k on stock at an average price of UK£7.71. That increased their holding by a full 57%, which arguably implies the sort of confidence required for a shy sweet-natured nerd to ask the most popular kid in the school to go out on a date.
Check out our latest analysis for Fevertree Drinks
Fevertree Drinks Insider Transactions Over The Last Year
Notably, that recent purchase by Kevin Havelock is the biggest insider purchase of Fevertree Drinks shares that we've seen in the last year. That means that an insider was happy to buy shares at above the current price of UK£8.00. Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.
In the last twelve months Fevertree Drinks insiders were buying shares, but not selling. 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!
Fevertree Drinks is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.
Does Fevertree Drinks Boast High Insider Ownership?
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Fevertree Drinks insiders own 9.5% of the company, worth about UK£89m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Does This Data Suggest About Fevertree Drinks Insiders?
It is good to see recent purchasing. And an analysis of the transactions over the last year also gives us confidence. Insiders likely see value in Fevertree Drinks shares, given these transactions (along with notable insider ownership of the company). In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Fevertree Drinks. At Simply Wall St, we found 1 warning sign for Fevertree Drinks that deserve your attention before buying any shares.