Nasdaq
華爾街日報Insider Buying: Kingsway Financial Services Independent Director Bought US$4.1m Of Shares
Kingsway Financial Services Inc. (NYSE:KFS) shareholders (or potential shareholders) will be happy to see that the Independent Director, Gregory Hannon, recently bought a whopping US$4.1m worth of stock, at a price of US$8.25. There's no denying a buy of that magnitude suggests conviction in a brighter future, although we do note that proportionally it only increased their holding by -111%.
Kingsway Financial Services Insider Transactions Over The Last Year
Notably, that recent purchase by Gregory Hannon is the biggest insider purchase of Kingsway Financial Services shares that we've seen in the last year. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$12.80. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.
Kingsway Financial Services insiders may have bought shares in the last year, but they didn't sell any. 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 Kingsway Financial Services
Kingsway Financial Services 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 Kingsway Financial Services 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. Kingsway Financial Services insiders own about US$65m worth of shares. That equates to 18% 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.
What Might The Insider Transactions At Kingsway Financial Services Tell Us?
It is good to see recent purchasing. And the longer term insider transactions also give us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. When combined with notable insider ownership, these factors suggest Kingsway Financial Services insiders are well aligned, and that they may think the share price is too low. 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. At Simply Wall St, we found 1 warning sign for Kingsway Financial Services that deserve your attention before buying any shares.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.