Insider Buying: Maui Land & Pineapple Company Independent Director Bought US$82k Of Shares

Even if it's not a huge purchase, we think it was good to see that Stephen Case, the Independent Director of Maui Land & Pineapple Company, Inc. (NYSE:MLP) recently shelled out US$82k to buy stock, at US$16.47 per share. Nevertheless, it only increased their shareholding by a minuscule percentage, and it wasn't a massive purchase by absolute value, either.

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The Last 12 Months Of Insider Transactions At Maui Land & Pineapple Company

In fact, the recent purchase by Stephen Case was the biggest purchase of Maui Land & Pineapple Company shares made by an insider individual in the last twelve months, according to our records. That implies that an insider found the current price of US$17.11 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. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. In this case we're pleased to report that the insider bought shares at close to current prices. The only individual insider to buy over the last year was Stephen Case.

Stephen Case purchased 14.41k shares over the year. The average price per share was US$16.41. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

View our latest analysis for Maui Land & Pineapple Company

Maui Land & Pineapple Company is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Maui Land & Pineapple Company insiders own 62% of the company, worth about US$209m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Do The Maui Land & Pineapple Company Insider Transactions Indicate?

It is good to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Maui Land & Pineapple Company. That's what I like to see! So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. Every company has risks, and we've spotted 1 warning sign for Maui Land & Pineapple Company you should know about.

But note: Maui Land & Pineapple Company 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 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.