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 discoverIE Group plc (LON:DSCV), 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 discoverIE Group

The Last 12 Months Of Insider Transactions At discoverIE Group

In the last twelve months, the biggest single purchase by an insider was when Group Chief Executive & Executive Director Nicholas Jefferies bought UK£75k worth of shares at a price of UK£6.25 per share. Even though the purchase was made at a significantly lower price than the recent price (UK£8.16), we still think insider buying is a positive. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.

discoverIE Group 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!

discoverIE Group is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Does discoverIE Group Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. discoverIE Group insiders own about UK£14m worth of shares. That equates to 1.8% of the company. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

What Might The Insider Transactions At discoverIE Group Tell Us?

There haven't been any insider transactions in the last three months -- that doesn't mean much. On a brighter note, the transactions over the last year are encouraging. Overall we don't see anything to make us think discoverIE Group insiders are doubting the company, and they do own shares. Of course, the future is what matters most. So if you are interested in discoverIE Group, you should check out this free report on analyst forecasts for the company.