Multiple insiders secured a larger position in Valaris Limited (NYSE:VAL) shares over the last 12 months. This is reassuring as this suggests that insiders have increased optimism about the company's prospects.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

We've discovered 1 warning sign about Valaris. View them for free.

Valaris Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by insider John Fredriksen for US$37m worth of shares, at about US$46.00 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$30.10). 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 always take careful note of the price insiders pay when purchasing shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.

In the last twelve months insiders purchased 2.12m shares for US$106m. But they sold 75.40k shares for US$4.2m. In the last twelve months there was more buying than selling by Valaris insiders. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

See our latest analysis for Valaris NYSE:VAL Insider Trading Volume April 17th 2025

Valaris is not the only stock insiders are buying. So take a peek at this freelist of under-the-radar companies with insider buying.

Insiders At Valaris Have Bought Stock Recently

It's good to see that Valaris insiders have made notable investments in the company's shares. Overall, two insiders shelled out US$37m for shares in the company -- and none sold. This could be interpreted as suggesting a positive outlook.

Insider Ownership

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Valaris insiders own about US$241m worth of shares (which is 11% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

Story Continues

So What Do The Valaris Insider Transactions Indicate?

The recent insider purchases are heartening. And an analysis of the transactions over the last year also gives us confidence. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Valaris. Looks promising! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. While conducting our analysis, we found that Valaris has 1 warning sign and it would be unwise to ignore it.

Of course Valaris may not be the best stock to buy. So you may wish to see this freecollection of high quality companies.

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.

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