Yahoo Finance Trade Alert: The Independent Chairman Of Stingray Group Inc. (TSE:RAY.A), Mark Pathy, Has Just Spent CA$1.0m Buying 3.7% More Shares
Stingray Group Inc. (TSE:RAY.A) shareholders (or potential shareholders) will be happy to see that the Independent Chairman, Mark Pathy, recently bought a whopping CA$1.0m worth of stock, at a price of CA$5.45. While that only increased their holding size by 3.7%, it is still a big swing by our standards.
View our latest analysis for Stingray Group
Stingray Group Insider Transactions Over The Last Year
The Co-Founder Eric Boyko made the biggest insider purchase in the last 12 months. That single transaction was for CA$1.4m worth of shares at a price of CA$7.20 each. That means that even when the share price was higher than CA$5.47 (the recent price), an insider wanted to purchase shares. It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.
Stingray Group insiders may have bought shares in the last year, but they didn't sell any. They paid about CA$6.48 on average. I'd consider this a positive as it suggests insiders see value at around the current price. The chart below shows insider transactions (by companies and 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 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 Of Stingray Group
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 26% of Stingray Group shares, worth about CA$98m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Does This Data Suggest About Stingray Group Insiders?
It's certainly positive to see the recent insider purchases. And the longer term insider transactions also give us confidence. When combined with notable insider ownership, these factors suggest Stingray Group insiders are well aligned, and that they may think the share price is too low. 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. You'd be interested to know, that we found 2 warning signs for Stingray Group and we suggest you have a look.
Of course Stingray Group 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.
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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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