Stephen Boyd Is The Group Finance Director & Executive Director of Finsbury Food Group Plc (LON:FIF) And They Just Picked Up 9.1% More Shares

Whilst it may not be a huge deal, we thought it was good to see that the Finsbury Food Group Plc (LON:FIF) Group Finance Director & Executive Director, Stephen Boyd, recently bought UK£56k worth of stock, for UK£0.56 per share. However, it only increased their shares held by 9.1%, and it wasn't a huge purchase by absolute value, either.

See our latest analysis for Finsbury Food Group

Finsbury Food Group Insider Transactions Over The Last Year

In fact, the recent purchase by Stephen Boyd was the biggest purchase of Finsbury Food Group shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, even at a higher price than the current share price (being UK£0.57). It's very possible they regret the purchase, but it's more likely they are bullish about the company. In our view, the price an insider pays for shares is very important. As a general rule, we feel more positive about a stock when an insider has bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price. The only individual insider to buy over the last year was Stephen Boyd.

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!

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

Insider Ownership

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. From looking at our data, insiders own UK£2.1m worth of Finsbury Food Group stock, about 2.9% of the company. We prefer to see high levels of insider ownership.

So What Do The Finsbury Food Group Insider Transactions Indicate?

The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Finsbury Food Group insiders are expecting a bright future. 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. For example - Finsbury Food Group has 1 warning sign we think you should be aware of.

But note: Finsbury Food Group may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.

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.

This article by Simply Wall St is general in nature. 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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