Insider Spends kr1.4m Buying More Shares In Meko
Potential Meko AB (publ) (STO:MEKO) shareholders may wish to note that the President & CEO, Pehr Oscarson, recently bought kr1.4m worth of stock, paying kr71.80 for each share. Although the purchase only increased their holding by 3.7%, it is still a solid purchase in our view.
The Last 12 Months Of Insider Transactions At Meko
In fact, the recent purchase by President & CEO Pehr Oscarson was not their only acquisition of Meko shares this year. Earlier in the year, they paid kr73.28 per share in a kr1.8m purchase. So it's clear an insider wanted to buy, at around the current price, which is kr73.85. 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. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. The good news for Meko share holders is that an insider was buying at near the current price. Pehr Oscarson was the only individual insider to buy during the last year.
Pehr Oscarson bought a total of 80.00k shares over the year at an average price of kr71.89. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
See our latest analysis for Meko
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).
Does Meko Boast High Insider Ownership?
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 6.2% of Meko shares, worth about kr254m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Does This Data Suggest About Meko Insiders?
It's certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. When combined with notable insider ownership, these factors suggest Meko insiders are well aligned, and quite possibly think the share price is too low. That's what I like to see! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For instance, we've identified 2 warning signs for Meko (1 doesn't sit too well with us) you should be aware of.
Of course Meko 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.