Usually, when one insider buys stock, it might not be a monumental event. But when multiple insiders are buying like they did in the case of NoviqTech Limited (ASX:NVQ), that sends out a positive message to the company's shareholders.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for NoviqTech

The Last 12 Months Of Insider Transactions At NoviqTech

In the last twelve months, the biggest single purchase by an insider was when insider John Tarrant bought AU$535k worth of shares at a price of AU$0.005 per share. That means that even when the share price was higher than AU$0.0035 (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. 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.

Over the last year, we can see that insiders have bought 217.04m shares worth AU$881k. On the other hand they divested 156.01m shares, for AU$644k. In the last twelve months there was more buying than selling by NoviqTech insiders. They paid about AU$0.0041 on average. This is nice to see since it implies that insiders might see value around current prices. 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!

NoviqTech is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.

NoviqTech Insiders Bought Stock Recently

Over the last three months, we've seen significantly more insider buying, than insider selling, at NoviqTech. We can see that insider John Tarrant paid AU$535k for shares in the company. But we did see insider Amarandhar Kotha sell shares worth AU$335k. We think insiders may be optimistic about the future, since insiders have been net buyers of shares.

Does NoviqTech Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Insiders own 28% of NoviqTech shares, worth about AU$1.4m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.