Mario Verrocchi Buys Handful Of Shares In Sigma Healthcare

Sigma Healthcare Limited (ASX:SIG) shareholders (or potential shareholders) will be happy to see that the CEO of Retail & Executive Director, Mario Verrocchi, recently bought a whopping AU$5.1m worth of stock, at a price of AU$2.55. While that only increased their holding size by 0.08%, it is still a big swing by our standards.

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Sigma Healthcare Insider Transactions Over The Last Year

In fact, the recent purchase by Mario Verrocchi was the biggest purchase of Sigma Healthcare 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 AU$2.56 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. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. The good news for Sigma Healthcare share holders is that insiders were buying at near the current price.

While Sigma Healthcare insiders bought shares during the last year, they didn't sell. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

View our latest analysis for Sigma Healthcare

There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insider Ownership Of Sigma Healthcare

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Sigma Healthcare insiders own 50% of the company, currently worth about AU$15b based on the recent share price. 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 Does This Data Suggest About Sigma Healthcare Insiders?

The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Sigma Healthcare. That's what I like to see! Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Sigma Healthcare.

Of course Sigma Healthcare 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.