Yahoo Finance Insider Buying: The Proficient Alpha Acquisition Corp. (NASDAQ:PAAC) Director Just Bought 139% More Shares
Investors who take an interest in Proficient Alpha Acquisition Corp. (NASDAQ:PAAC) should definitely note that the Director, Shih-Chung Chou, recently paid US$0.20 per share to buy US$120k worth of the stock. We reckon that's a good sign, especially since the purchase boosted their holding by 139%.
View our latest analysis for Proficient Alpha Acquisition
Proficient Alpha Acquisition Insider Transactions Over The Last Year
Notably, that recent purchase by Shih-Chung Chou is the biggest insider purchase of Proficient Alpha Acquisition shares that we've seen in the last year. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$10.22. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.
You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
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. A high insider ownership often makes company leadership more mindful of shareholder interests. Proficient Alpha Acquisition insiders own about US$42m worth of shares (which is 86% 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 Proficient Alpha Acquisition Insider Transactions Indicate?
The recent insider purchase is heartening. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Proficient Alpha Acquisition. Looks promising! While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Case in point: We've spotted 3 warning signs for Proficient Alpha Acquisition you should be aware of.
Of course Proficient Alpha Acquisition 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.
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.
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