Yahoo Finance Multiple insiders bought Kingsway Financial Services Inc. (NYSE:KFS) stock earlier this year, a positive sign for shareholders
Usually, when one insider buys stock, it might not be a monumental event. But when multiple insiders are buying like they did in the case of Kingsway Financial Services Inc. (NYSE:KFS), that sends out a positive message to the company's shareholders.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.
View our latest analysis for Kingsway Financial Services
Kingsway Financial Services Insider Transactions Over The Last Year
The Director Charles Frischer made the biggest insider purchase in the last 12 months. That single transaction was for US$146k worth of shares at a price of US$5.40 each. We do like to see buying, but this purchase was made at well below the current price of US$6.94. 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.
Kingsway Financial Services insiders may have bought shares in the last year, but they didn't sell any. 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!
Kingsway Financial Services is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insiders At Kingsway Financial Services Have Bought Stock Recently
There was some insider buying at Kingsway Financial Services over the last quarter. Insiders shelled out US$21k for shares in that time. We like it when there are only buyers, and no sellers. But in this case the amount purchased means the recent transaction may not be very meaningful on its own.
Does Kingsway Financial Services Boast High Insider Ownership?
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Insiders own 22% of Kingsway Financial Services shares, worth about US$37m. 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 Does This Data Suggest About Kingsway Financial Services Insiders?
We note a that there has been a bit of insider buying recently (but no selling). That said, the purchases were not large. But insiders have shown more of an appetite for the stock, over the last year. Insiders own shares in Kingsway Financial Services and we see no evidence to suggest they are worried about the future. I like to dive deeper into how a company has performed in the past. You can access this interactive graph of past earnings, revenue and cash flow for free.
But note: Kingsway Financial Services 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 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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