Those following along with Hosken Consolidated Investments Limited (JSE:HCI) will no doubt be intrigued by the recent purchase of shares by John Copelyn, CEO & Executive Director of the company, who spent a stonking R118m on stock at an average price of R200. There’s no denying a buy of that magnitude suggests conviction in a brighter future, although we do note that proportionally it only increased their holding by 5.8%.
View our latest analysis for Hosken Consolidated Investments
Hosken Consolidated Investments Insider Transactions Over The Last Year
Notably, that recent purchase by John Copelyn is the biggest insider purchase of Hosken Consolidated Investments shares that we’ve seen in the last year. Even though the purchase was made at a significantly lower price than the recent price (R222), we still think insider buying is a positive. Because it occurred at a lower valuation, it doesn’t tell us much about whether insiders might find today’s price attractive.
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!
Hosken Consolidated Investments is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Does Hosken Consolidated Investments Boast High Insider Ownership?
For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Hosken Consolidated Investments insiders own 14% of the company, currently worth about R2.5b based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
So What Do The Hosken Consolidated Investments Insider Transactions Indicate?
It is good 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 Hosken Consolidated Investments insiders are well aligned, and quite possibly think the share price is too low. One for the watchlist, at least! While we like knowing what’s going on with the insider’s ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. You’d be interested to know, that we found 2 warning signs for Hosken Consolidated Investments and we suggest you have a look.
But note: Hosken Consolidated Investments 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, but not derivative transactions.
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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.
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