Yahoo Finance Brian Lynch Bought 8.2% More Shares In Topgolf Callaway Brands \
Potential Topgolf Callaway Brands Corp. (NYSE:MODG) shareholders may wish to note that the Executive VP, Brian Lynch, recently bought US$178k worth of stock, paying US$17.79 for each share. Although the purchase only increased their holding by 8.2%, it is still a solid purchase in our view.
See our latest analysis for Topgolf Callaway Brands
Topgolf Callaway Brands Insider Transactions Over The Last Year
In fact, the recent purchase by Executive VP Brian Lynch was not their only acquisition of Topgolf Callaway Brands shares this year. Earlier in the year, they paid US$21.64 per share in a US$216k purchase. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$17.95). Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for 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.
While Topgolf Callaway Brands insiders bought shares during the last year, they didn't sell. 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!
Topgolf Callaway Brands is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
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. Topgolf Callaway Brands insiders own about US$380m worth of shares (which is 11% of the company). 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 Topgolf Callaway Brands Insider Transactions Indicate?
The recent insider purchases are heartening. And an analysis of the transactions over the last year also gives us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Topgolf Callaway Brands. Looks promising! 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. In terms of investment risks, we've identified 1 warning sign with Topgolf Callaway Brands and understanding it should be part of your investment process.
Of course Topgolf Callaway Brands may not be the best stock to buy. So you may wish to see this free collection 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, 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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