PhenixFIN Insider Buyers Pleased With US$591k Return On Investment
Insiders who bought PhenixFIN Corporation (NASDAQ:PFX) in the last 12 months may probably not pay attention to the stock's recent 13% drop. After taking the recent loss into consideration, the US$4.44m worth of stock they bought is now worth US$5.03m, indicating that their investment yielded a positive return.
Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.
PhenixFIN Insider Transactions Over The Last Year
Over the last year, we can see that the biggest insider purchase was by Chairman & CEO David Lorber for US$1.7m worth of shares, at about US$39.95 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$46.32. 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.
In the last twelve months PhenixFIN insiders were buying shares, but not selling. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Check out our latest analysis for PhenixFIN
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 PhenixFIN
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 28% of PhenixFIN shares, worth about US$24m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
What Might The Insider Transactions At PhenixFIN Tell Us?
The fact that there have been no PhenixFIN insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. Insiders do have a stake in PhenixFIN and their transactions don't cause us concern. 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 4 warning signs for PhenixFIN (1 can't be ignored) you should be aware of.
Of course PhenixFIN 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.