NortonLifeLock Inc. (NASDAQ:NLOK) shareholders (or potential shareholders) will be happy to see that the President & Director, Ondrej Vlcek, recently bought a whopping US$10.0m worth of stock, at a price of US$21.91. Aside from being a solid chunk in its own right, the deft move also saw their holding increase by some 14%.
Check out our latest analysis for NortonLifeLock
The Last 12 Months Of Insider Transactions At NortonLifeLock
Notably, that recent purchase by Ondrej Vlcek is the biggest insider purchase of NortonLifeLock shares that we've seen in the last year. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$21.27). It's very possible they regret the purchase, but it's more likely they are bullish about the company. In our view, the price an insider pays for shares is very important. It is encouraging to see an insider paid above the current price for shares, as it suggests they saw value, even at higher levels. Ondrej Vlcek was the only individual insider to buy shares in the last twelve months.
The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Insider Ownership Of NortonLifeLock
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. I reckon it's a good sign if insiders own a significant number of shares in the company. NortonLifeLock insiders own about US$1.1b worth of shares (which is 7.8% of the company). I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
What Might The Insider Transactions At NortonLifeLock Tell Us?
It's certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. When combined with notable insider ownership, these factors suggest NortonLifeLock insiders are well aligned, and quite possibly think the share price is too low. That's what I like to see! 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. To that end, you should learn about the 4 warning signs we've spotted with NortonLifeLock (including 1 which is significant).