Yahoo Finance Have Insiders Been Buying Martinrea International Inc. (TSE:MRE) Shares This Year?
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We’ve lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. Unfortunately, there are also plenty of examples of share prices declining precipitously after insiders have sold shares. So before you buy or sell Martinrea International Inc. (TSE:MRE), you may well want to know whether insiders have been buying or selling.
Do Insider Transactions Matter?
Most investors know that it is quite permissible for company leaders, such as directors of the board, to buy and sell stock on the market. However, rules govern insider transactions, and certain disclosures are required.
Insider transactions are not the most important thing when it comes to long-term investing. But it is perfectly logical to keep tabs on what insiders are doing. 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 Martinrea International
Martinrea International Insider Transactions Over The Last Year
President Pat D’Eramo made the biggest insider purchase in the last 12 months. That single transaction was for CA$250k worth of shares at a price of CA$15.10 each. That means that even when the share price was higher, an insider wanted to purchase shares. Their view may have changed since then, but at least it shows they felt optimistic at the time. It’s not at all bad to see insiders buy shares at or above current prices.
Over the last year, we can see that insiders have bought 84.81k shares worth CA$1.2m. In total, Martinrea International insiders bought more than they sold over the last year. They paid about CA$14.01 on average. I’d consider this a positive as it suggests insiders see value at around the current price, which is CA$12.32. The chart below shows insider transactions (by individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
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.
Martinrea International Insiders Bought Stock Recently
Over the last quarter, Martinrea International insiders have spent a meaningful amount on shares. In total, insiders bought CA$225k worth of shares in that time, and we didn’t record any sales whatsoever. That shows some optimism about the company’s future.
Insider Ownership of Martinrea International
For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Martinrea International insiders own about CA$14m worth of shares. That equates to 1.4% of the company. We’ve certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Do The Martinrea International Insider Transactions Indicate?
The recent insider purchases are heartening. We also take confidence from the longer term picture of insider transactions. Given that insiders also own a fair bit of Martinrea International we think they are probably pretty confident of a bright future. Of course, the future is what matters most. So if you are interested in Martinrea International, you should check out this free report on analyst forecasts for the company.
But note: Martinrea International 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.
To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.
