Yahoo Finance Positive Signs As Multiple Insiders Buy Hamilton Beach Brands Holding Stock
It is usually uneventful when a single insider buys stock. However, When quite a few insiders buy shares, as it happened in Hamilton Beach Brands Holding Company's (NYSE:HBB) case, it's fantastic news for shareholders.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
See our latest analysis for Hamilton Beach Brands Holding
The Last 12 Months Of Insider Transactions At Hamilton Beach Brands Holding
In the last twelve months, the biggest single purchase by an insider was when CEO & Director Gregory Trepp bought US$106k worth of shares at a price of US$10.59 per share. Even though the purchase was made at a significantly lower price than the recent price (US$17.19), we still think insider buying is a positive. 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.
In the last twelve months Hamilton Beach Brands Holding insiders were buying shares, but not selling. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.
Insider Ownership Of Hamilton Beach Brands Holding
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. Hamilton Beach Brands Holding insiders own about US$73m worth of shares. That equates to 30% 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 Hamilton Beach Brands Holding Tell Us?
It doesn't really mean much that no insider has traded Hamilton Beach Brands Holding shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. Insiders own shares in Hamilton Beach Brands Holding and we see no evidence to suggest they are worried about the future. 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. Case in point: We've spotted 1 warning sign for Hamilton Beach Brands Holding you should be aware of.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
