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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 Spectris plc (LON:SXS), 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.
See our latest analysis for Spectris
The Last 12 Months Of Insider Transactions At Spectris
The Independent Non-Executive Chairman Mark Williamson made the biggest insider purchase in the last 12 months. That single transaction was for UK£300k worth of shares at a price of UK£24.76 each. We do like to see buying, but this purchase was made at well below the current price of UK£28.78. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
While Spectris insiders bought shares during the last year, they didn't sell. 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!
Spectris is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.
Insiders At Spectris Have Bought Stock Recently
It's good to see that Spectris insiders have made notable investments in the company's shares. We can see that Independent Non-Executive Director & Workforce Engagement Director Kjersti Wiklund paid UK£49k for shares in the company. No-one sold. This could be interpreted as suggesting a positive outlook.
Does Spectris Boast High Insider Ownership?
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. From our data, it seems that Spectris insiders own 0.1% of the company, worth about UK£4.0m. Whilst better than nothing, we're not overly impressed by these holdings.
What Might The Insider Transactions At Spectris Tell Us?
Insider purchases may have been minimal, in the last three months, but there was no selling at all. That said, the purchases were not large. On a brighter note, the transactions over the last year are encouraging. We'd like to see bigger individual holdings. However, we don't see anything to make us think Spectris insiders are doubting the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Spectris. At Simply Wall St, we've found that Spectris has 3 warning signs (1 doesn't sit too well with us!) that deserve your attention before going any further with your analysis.