Multiple insiders secured a larger position in Caesars Entertainment, Inc. (NASDAQ:CZR) shares over the last 12 months. This is reassuring as this suggests that insiders have increased optimism about the company's prospects.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.

Caesars Entertainment Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when Independent Director Michael Pegram bought US$1.5m worth of shares at a price of US$36.40 per share. So it's clear an insider wanted to buy, at around the current price, which is US$37.24. Of course they may have changed their mind. But this suggests they are optimistic. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. In this case we're pleased to report that the insider purchases were made at close to current prices.

In the last twelve months insiders purchased 81.00k shares for US$3.1m. On the other hand they divested 10.00k shares, for US$325k. In the last twelve months there was more buying than selling by Caesars Entertainment insiders. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insiders At Caesars Entertainment Have Bought Stock Recently

Over the last three months, we've seen a bit of insider buying at Caesars Entertainment. In that period insiders spent US$352k on shares. But Independent Director Frank Fahrenkopf sold US$325k worth. It is good to see that insiders have been buying, but they did not buy very many shares, in the scheme of things.

Insider Ownership Of Caesars Entertainment

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It appears that Caesars Entertainment insiders own 0.7% of the company, worth about US$56m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Do The Caesars Entertainment Insider Transactions Indicate?

Insider purchases may have been minimal, in the last three months, but there was no selling at all. The net investment is not enough to encourage us much. On a brighter note, the transactions over the last year are encouraging. Insiders do have a stake in Caesars Entertainment and their transactions don't cause us concern. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Caesars Entertainment.

But note: Caesars Entertainment may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions of direct interests only, but not derivative transactions or indirect interests.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.