Whilst it may not be a huge deal, we thought it was good to see that the AMA Group Limited (ASX:AMA) Group Chief Executive Officer, Carl Bizon, recently bought AU$53k worth of stock, for AU$0.17 per share. While that isn't the hugest buy, it actually boosted their shareholding by 55%, which is good to see. See our latest analysis for AMA Group The Last 12 Months Of Insider Transactions At AMA Group In fact, the recent purchase by Carl Bizon was the biggest purchase of AMA Group shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is AU$0.18. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. The good news for AMA Group share holders is that insiders were buying at near the current price. While AMA Group insiders bought shares during the last year, they didn't sell. They paid about AU$0.24 on average. These transactions suggest that insiders have considered the current price of AU$0.18 attractive. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date! insider-trading-volume AMA Group is not the only stock that insiders are buying. For those who like to find winning investments this freelist of growing companies with recent insider purchasing, could be just the ticket. Insider Ownership of AMA Group Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. From our data, it seems that AMA Group insiders own 5.1% of the company, worth about AU$9.6m. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing! What Might The Insider Transactions At AMA Group Tell Us? It's certainly positive to see the recent insider purchases. We also take confidence from the longer term picture of insider transactions. But we don't feel the same about the fact the company is making losses. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that AMA Group insiders are expecting a bright future. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. At Simply Wall St, we found 3 warning signs for AMA Group that deserve your attention before buying any shares. But note: AMA 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.
Trade Alert: The Group Chief Executive Officer Of AMA Group Limited (ASX:AMA), Carl Bizon, Has Just Spent AU$53k Buying 55% More Shares
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