In This Article:
Insiders were net buyers of Lions Gate Entertainment Corp.'s (NYSE:LGF.A ) stock during the past year. That is, insiders bought more stock than they sold.
While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.
Check out our latest analysis for Lions Gate Entertainment
Lions Gate Entertainment Insider Transactions Over The Last Year
The CEO & Director Jon Feltheimer made the biggest insider purchase in the last 12 months. That single transaction was for US$456k worth of shares at a price of US$9.12 each. That means that an insider was happy to buy shares at around the current price of US$9.69. 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. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. Happily, the Lions Gate Entertainment insider decided to buy shares at close to current prices. Jon Feltheimer was the only individual insider to buy shares in the last twelve months.
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!
Lions Gate Entertainment 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 Lions Gate Entertainment 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. We usually like to see fairly high levels of insider ownership. Insiders own 4.1% of Lions Gate Entertainment shares, worth about US$92m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Do The Lions Gate Entertainment Insider Transactions Indicate?
There haven't been any insider transactions in the last three months -- that doesn't mean much. However, our analysis of transactions over the last year is heartening. Insiders own shares in Lions Gate Entertainment and we see no evidence to suggest they are worried about the future. 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. For instance, we've identified 3 warning signs for Lions Gate Entertainment (1 makes us a bit uncomfortable) you should be aware of.