NCC Group plc (LON:NCC) shareholders (or potential shareholders) will be happy to see that the Non-Executive Chairman, Christopher Michael Stone, recently bought a whopping UK£499k worth of stock, at a price of UK£0.91. That increased their holding by a full 338%, which arguably implies the sort of confidence required for a shy sweet-natured nerd to ask the most popular kid in the school to go out on a date.

Check out our latest analysis for NCC Group

NCC Group Insider Transactions Over The Last Year

Notably, that recent purchase by Christopher Michael Stone is the biggest insider purchase of NCC Group shares that we've seen in the last year. That implies that an insider found the current price of UK£0.95 per share to be enticing. That means they have been optimistic about the company in the past, though they may have changed their mind. 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. Happily, the NCC Group insiders decided to buy shares at close to current prices.

In the last twelve months NCC Group insiders were buying shares, but not selling. 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! insider-trading-volume

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 freelist of companies. (Hint: insiders have been buying them).

Insider Ownership

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. We usually like to see fairly high levels of insider ownership. From what we can see in our data, insiders own only about UK£441k worth of NCC Group shares. It's always possible we are missing something but from our data, it looks like insider ownership is minimal.

So What Do The NCC Group Insider Transactions Indicate?

It's certainly positive to see the recent insider purchases. And the longer term insider transactions also give us confidence. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on NCC Group stock. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing NCC Group. When we did our research, we found 2 warning signs for NCC Group (1 shouldn't be ignored!) that we believe deserve your full attention.

But note: NCC Group may not be the best stock to buy. So take a peek at this freelist 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.

Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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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