Insiders who purchased US$831,000 of MAV Beauty Brands Inc. (TSE:MAV) over the past year have seen some of their losses recouped, with the stock gaining 12% in the past week. The purchase, however, proved to be a costly gamble, with losses currently totaling US$377,000.
While insider trading isn’t the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider trading altogether.
Check out our latest analysis for MAV Beauty Brands
The last 12 months of insider trading at MAV Beauty Brands
CEO and Chairman Serge Jureidini made the biggest insider buy in the past 12 months. This single transaction was for CA$684,000 of shares at a price of CA$1.40 each. This means that even when the stock price was above C$0.75 (the recent price), an insider wanted to buy stock. Their perspective may have changed since then, but it at least shows that they were feeling optimistic at the time. We always take careful note of the price paid by insiders when buying stocks. Generally, we are more positive about a stock if insiders bought the stock above current prices, as this suggests they viewed the stock as good value, even at a higher price.
While MAV Beauty Brands insiders have bought shares over the past year, they haven’t sold. You can see insider trading (by companies and individuals) over the past year illustrated in the table below. If you want to know exactly who sold, how much and when, just click on the chart below!
There are always plenty of stocks that insiders are buying. So if it suits your style you can check each stock one by one or you can take a look at this free list of companies. (Hint: insiders bought them).
Does MAV Beauty Brands boast high insider ownership?
For an ordinary shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will have an incentive to build the business for the long term. Insiders own 30% of the shares of MAV Beauty Brands, worth approximately C$8.3 million. This level of insider ownership is good, but just short of being particularly noteworthy. This certainly suggests a reasonable degree of alignment.
So what do MAV Beauty Brands insider trading indicate?
There have been no insider trades in the last three months – that’s not saying much. But insiders have shown more appetite for the stock over the past year. Overall, we see nothing to suggest that MAV Beauty Brands insiders doubt the company and own stock. While we like to know what’s going on with insider ownership and trading, we also make sure to consider the risks a stock faces before making any investment decisions. To help you, we have discovered 2 warning signs which you should browse to get a better picture of MAV beauty brands.
But note: MAV Beauty Brands may not be the best stock to buy. So take a look at this free list of interesting companies with high ROE and low debt.
For the purposes of this article, insiders are persons who report their transactions to the relevant regulatory body. We currently record open market transactions and private dispositions, but not derivative transactions.
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This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts only using unbiased methodology and our articles are not intended to be financial advice. It is not a recommendation to buy or sell stocks and does not take into account your objectives or financial situation. Our goal is to bring you targeted long-term analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price-sensitive companies or qualitative materials. Simply Wall St has no position in the stocks mentioned.