Yahoo Finance Did Smart Employee Benefits Inc. (CVE:SEB) Insiders Buy Up More Shares?
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We often see insiders buying up shares in companies that perform well over the long term. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So before you buy or sell Smart Employee Benefits Inc. (CVE:SEB), you may well want to know whether insiders have been buying or selling.
Do Insider Transactions Matter?
It is perfectly legal for company insiders, including board members, to buy and sell stock in a company. However, rules govern insider transactions, and certain disclosures are required.
We don't think shareholders should simply follow insider transactions. But logic dictates you should pay some attention to whether insiders are buying or selling shares. As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.'
View our latest analysis for Smart Employee Benefits
The Last 12 Months Of Insider Transactions At Smart Employee Benefits
Over the last year, we can see that the biggest insider purchase was by Mohamad El Chayah for CA$108k worth of shares, at about CA$0.18 per share. That means that an insider was happy to buy shares at around the current price of CA$0.20. Of course they may have changed their mind. But this suggests they are optimistic. 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 Smart Employee Benefits insiders decided to buy shares at close to current prices.
Over the last year, we can see that insiders have bought 690k shares worth CA$128k. But insiders sold 80000 shares worth CA$18k. In total, Smart Employee Benefits insiders bought more than they sold over the last year. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
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 free list of companies. (Hint: insiders have been buying them).
Insider Ownership
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Smart Employee Benefits insiders own about CA$7.3m worth of shares. That equates to 22% of the company. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
So What Does This Data Suggest About Smart Employee Benefits Insiders?
It doesn't really mean much that no insider has traded Smart Employee Benefits shares in the last quarter. However, our analysis of transactions over the last year is heartening. Insiders do have a stake in Smart Employee Benefits and their transactions don't cause us concern. To put this in context, take a look at how a company has performed in the past. You can access this detailed graph of past earnings, revenue and cash flow .
But note: Smart Employee Benefits may not be the best stock to buy. So take a peek at this free list 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 aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.
