Viewing insider transactions for Gates Industrial Corporation plc's (NYSE:GTES ) over the last year, we see that insiders were net buyers. This means that a larger number of shares were purchased by insiders in relation to shares sold.
While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.
See our latest analysis for Gates Industrial
The Last 12 Months Of Insider Transactions At Gates Industrial
In the last twelve months, the biggest single purchase by an insider was when Independent Director Fredrik Eliasson bought US$579k worth of shares at a price of US$11.57 per share. That means that an insider was happy to buy shares at around the current price of US$12.49. 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. The good news for Gates Industrial share holders is that an insider was buying at near the current price. Fredrik Eliasson 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. By clicking on the graph below, you can see the precise details of each insider transaction!
There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).
Does Gates Industrial Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Gates Industrial insiders own about US$15m worth of shares. That equates to 0.4% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Does This Data Suggest About Gates Industrial Insiders?
It doesn't really mean much that no insider has traded Gates Industrial shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. Insiders own shares in Gates Industrial and we see no evidence to suggest they are worried about the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Gates Industrial. Case in point: We've spotted 1 warning sign for Gates Industrial you should be aware of.
But note: Gates Industrial 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.
