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 ZOO Digital Group plc (LON:ZOO), that sends out a positive message to the company's shareholders.

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.

View our latest analysis for ZOO Digital Group

ZOO Digital Group Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by Independent Non-Executive Chairman Gillian Wilmot for UK£60k worth of shares, at about UK£0.38 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being UK£0.24). It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing 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 ZOO Digital Group insiders were buying shares, but not selling. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

ZOO Digital Group is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insider Ownership

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. Our data indicates that ZOO Digital Group insiders own about UK£3.0m worth of shares (which is 12% of the company). We do generally prefer see higher levels of insider ownership.

So What Does This Data Suggest About ZOO Digital Group Insiders?

The fact that there have been no ZOO Digital Group insider transactions recently certainly doesn't bother us. But insiders have shown more of an appetite for the stock, over the last year. The transactions are fine but it'd be more encouraging if ZOO Digital Group insiders bought more shares in the company. 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. Every company has risks, and we've spotted 4 warning signs for ZOO Digital Group you should know about.