Insider Stock Buying Reaches ₹67.8m On Shivalik Bimetal Controls
Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying, like in the case of Shivalik Bimetal Controls Limited (NSE:SBCL), it sends a favourable message to the company's shareholders.
Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.
Shivalik Bimetal Controls Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when Whole Time Director Sumer Ghumman bought ₹34m worth of shares at a price of ₹394 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of ₹1,000. 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.
Shivalik Bimetal Controls 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!
See our latest analysis for Shivalik Bimetal Controls
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 Shivalik Bimetal Controls
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. Shivalik Bimetal Controls insiders own about ₹13b worth of shares (which is 23% of the company). 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 Shivalik Bimetal Controls Tell Us?
The fact that there have been no Shivalik Bimetal Controls insider transactions recently certainly doesn't bother us. But insiders have shown more of an appetite for the stock, over the last year. Judging from their transactions, and high insider ownership, Shivalik Bimetal Controls insiders feel good about the company's future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Shivalik Bimetal Controls. To help with this, we've discovered 2 warning signs (1 makes us a bit uncomfortable!) that you ought to be aware of before buying any shares in Shivalik Bimetal Controls.
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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