Yahoo Finance Bullish Aaron's Company Insiders Loaded Up On US$792.9k Of Stock
When a single insider purchases stock, it is typically not a major deal. However, when multiple insiders purchase stock, like in The Aaron's Company, Inc.'s (NYSE:AAN) instance, it's good news for shareholders.
Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.
View our latest analysis for Aaron's Company
Aaron's Company Insider Transactions Over The Last Year
The CEO & Director Douglas Lindsay made the biggest insider purchase in the last 12 months. That single transaction was for US$361k worth of shares at a price of US$7.22 each. That implies that an insider found the current price of US$7.28 per share to be enticing. That means they have been optimistic about the company in the past, though they may have changed their mind. 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. Happily, the Aaron's Company insiders decided to buy shares at close to current prices.
While Aaron's Company insiders bought shares during the last year, they didn't sell. 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!
Aaron's Company is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership Of Aaron's Company
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. From our data, it seems that Aaron's Company insiders own 2.6% of the company, worth about US$5.9m. We do generally prefer see higher levels of insider ownership.
What Might The Insider Transactions At Aaron's Company Tell Us?
The fact that there have been no Aaron's Company insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. We'd like to see bigger individual holdings. However, we don't see anything to make us think Aaron's Company insiders are doubting the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Aaron's Company. For example - Aaron's Company has 1 warning sign we think you should be aware of.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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 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.
