Insiders who bought for 102,000 Australian dollars of Thorney Technologies Ltd (ASX:TEK) at an average purchase price of AU$0.36 over the past year may be disappointed by the stock’s recent 14% decline. Insiders buy in the hope that their investments will increase in value over time. However, due to recent losses, their initial investment is now only worth AU$63,000, which is not huge.
While we don’t believe shareholders should simply follow insider trading, we would consider it foolish to ignore insider trading altogether.
Check out our latest analysis for Thorney Technologies
Thorney Technologies insider trading over the past year
There hasn’t been a very large single transaction in the past year, but we can still see some trading.
Thorney Technologies insiders may have bought shares in the past year, but they haven’t sold any. Their average price was around AU$0.36. These trades suggest that insiders considered the current price of AU$0.22 attractive. You can see a visual representation of insider trading (by companies and individuals) over the past 12 months, below. By clicking on the graph below, you will be able to see the precise detail of each insider trade!
There are many other companies whose insiders buy shares. You probably do not want to miss this free list of growing companies insiders are buying.
Thorney Technologies insiders recently bought shares
We’ve seen Thorney Technologies insiders buying stock over the past three months. Insiders bought A$32,000 worth of shares around this time. It’s good to see insider buying, as well as the lack of recent sellers. But the amount invested in the last three months is not enough for us to give too much weight to it, as a single factor.
Thorney Technologies Insider Property
Many investors like to check how much a company is owned by insiders. I think it’s a good sign if insiders have a significant number of shares in the company. Insiders at Thorney Technologies appear to own 19% of the company, which is worth around AU$17 million. While this is a high but not exceptional level of insider ownership, it suffices to indicate some alignment between management and small shareholders.
So what does this data suggest about Thorney Technologies insiders?
We note that there has been a bit of insider buying recently (but no selling). The net investment is not enough to encourage us much. However, our analysis of transactions over the past year is encouraging. Overall, we see nothing to suggest that insiders at Thorney Technologies doubt the company, and they own stock. While we like to know what’s going on with insider ownership and trading, we also make sure to consider the risks a stock faces before making any investment decisions. For example, we have identified 4 warning signs for Thorney Technologies (1 is potentially serious) of which you should be aware.
But note: Thorney Technologies may not be the best stock to buy. So take a look at this free list of interesting companies with high ROE and low debt.
For the purposes of this article, insiders are persons who report their transactions to the relevant regulatory body. We currently record open market transactions and private dispositions, but not derivative transactions.
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This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts only using unbiased methodology and our articles are not intended to be financial advice. It is not a recommendation to buy or sell stocks and does not take into account your objectives or financial situation. Our goal is to bring you targeted long-term analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price-sensitive companies or qualitative materials. Simply Wall St has no position in the stocks mentioned.