Callan JMB Insider Confidence Rewarded, Stock Hits US$13m Market Cap

Insiders who bought Callan JMB Inc. (NASDAQ:CJMB) stock in the last 12 months were richly rewarded last week. The company's market value increased by US$2.5m as a result of the stock's 21% gain over the same period. As a result, their original purchase of US$165.5k worth of stock is now worth US$253.4k.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.

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The Last 12 Months Of Insider Transactions At Callan JMB

The Founder Wayne Williams made the biggest insider purchase in the last 12 months. That single transaction was for US$51k worth of shares at a price of US$1.65 each. Even though the purchase was made at a significantly lower price than the recent price (US$2.44), we still think insider buying is a positive. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

Callan JMB insiders may have bought shares in the last year, but they didn't sell any. 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 Callan JMB

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

Does Callan JMB Boast High Insider Ownership?

Many investors like to check how much of a company is owned by 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. It's great to see that Callan JMB insiders own 56% of the company, worth about US$7.4m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

What Might The Insider Transactions At Callan JMB Tell Us?

There haven't been any insider transactions in the last three months -- that doesn't mean much. However, our analysis of transactions over the last year is heartening. With high insider ownership and encouraging transactions, it seems like Callan JMB insiders think the business has merit. 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 5 warning signs for Callan JMB (of which 3 can't be ignored!) you should know about.

Of course Callan JMB 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.