Quite a few insiders have dramatically grown their holdings in Keystone Law Group plc (LON:KEYS) over the past 12 months. An insider's optimism about the company's prospects is a positive sign.
While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
The Last 12 Months Of Insider Transactions At Keystone Law Group
Notably, that recent purchase by James Knight is the biggest insider purchase of Keystone Law Group shares that we've seen in the last year. That implies that an insider found the current price of UK£4.53 per share to be enticing. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the Keystone Law Group insiders decided to buy shares at close to current prices.
Over the last year, we can see that insiders have bought 131.11k shares worth UK£591k. But insiders sold 15.00k shares worth UK£68k. In the last twelve months there was more buying than selling by Keystone Law Group insiders. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Keystone Law Group is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
Insiders At Keystone Law Group Have Bought Stock Recently
At Keystone Law Group,over the last quarter, we have observed quite a lot more insider buying than insider selling. In total, two insiders bought UK£591k worth of shares in that time. But we did see Finance Director & Executive Director Ashley Rupert James Miller sell shares worth UK£68k. We think insiders may be optimistic about the future, since insiders have been net buyers of shares.
Does Keystone Law Group Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Keystone Law Group insiders own about UK£42m worth of shares. That equates to 29% 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 Keystone Law Group Insiders?
The recent insider purchases are heartening. And an analysis of the transactions over the last year also gives us confidence. Given that insiders also own a fair bit of Keystone Law Group we think they are probably pretty confident of a bright future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. You'd be interested to know, that we found 1 warning sign for Keystone Law Group and we suggest you have a look.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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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