Usually, when one insider buys stock, it might not be a monumental event. But when multiple insiders are buying like they did in the case of Moonpig Group PLC (LON:MOON), that sends out a positive message to the company's shareholders.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

See our latest analysis for Moonpig Group

The Last 12 Months Of Insider Transactions At Moonpig Group

Over the last year, we can see that the biggest insider purchase was by Senior Independent Non-Executive Director David Keens for UK£134k worth of shares, at about UK£1.22 per share. That means that an insider was happy to buy shares at around the current price of UK£1.29. That means they have been optimistic about the company in the past, though they may have changed their mind. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. The good news for Moonpig Group share holders is that insiders were buying at near the current price. We note that David Keens was both the biggest buyer and the biggest seller.

Over the last year, we can see that insiders have bought 322.96k shares worth UK£423k. But insiders sold 110.10k shares worth UK£134k. In total, Moonpig Group insiders bought more than they sold over the last year. 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! insider-trading-volume

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this freelist of growing companies that insiders are buying.

Are Moonpig Group Insiders Buying Or Selling?

In the last three months, Senior Independent Non-Executive Director David Keens bought UK£134k. But that was only a smidgen more than the UK£134k worth of sales. Overall, we don't think these recent trades are particularly informative, one way or the other.



Does Moonpig Group Boast High Insider Ownership?

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Moonpig Group insiders own about UK£10m worth of shares. That equates to 2.3% 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.

So What Do The Moonpig Group Insider Transactions Indicate?

Insider buying and selling have balanced each other out in the last three months, so we can't deduct anything useful from these recent trades. On a brighter note, the transactions over the last year are encouraging. Overall we don't see anything to make us think Moonpig Group insiders are doubting the company, and they do own shares. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. To help with this, we've discovered 4 warning signs (1 is potentially serious!) that you ought to be aware of before buying any shares in Moonpig Group.

Of course Moonpig Group may not be the best stock to buy. So you may wish to see this freecollection 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, but not derivative transactions.

Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.

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