Ziff Davis Insiders Added US$820.8k Of Stock To Their Holdings

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 Ziff Davis, Inc. (NASDAQ:ZD), that sends out a positive message to the company's shareholders.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

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Ziff Davis Insider Transactions Over The Last Year

The CEO, President & Director Vivek Shah made the biggest insider purchase in the last 12 months. That single transaction was for US$500k worth of shares at a price of US$39.56 each. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$32.44). It's very possible they regret the purchase, but it's more likely they are bullish about the company. To us, it's very important to consider the price insiders pay for 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.

In the last twelve months Ziff Davis insiders were buying shares, but not selling. 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!

Check out our latest analysis for Ziff Davis

Ziff Davis is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Ziff Davis Insiders Bought Stock Recently

Over the last three months, we've seen significant insider buying at Ziff Davis. Not only was there no selling that we can see, but they collectively bought US$749k worth of shares. This could be interpreted as suggesting a positive outlook.

Does Ziff Davis Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Insiders own 2.2% of Ziff Davis shares, worth about US$30m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

What Might The Insider Transactions At Ziff Davis Tell Us?

It is good to see recent purchasing. We also take confidence from the longer term picture of insider transactions. When combined with notable insider ownership, these factors suggest Ziff Davis insiders are well aligned, and that they may think the share price is too low. While it's good to be aware of 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. For example - Ziff Davis has 1 warning sign we think you should be aware of.

Of course Ziff Davis 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 of direct interests only, but not derivative transactions or indirect interests.

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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.