This Cake Box Holdings insider has increased his stake over the past year
Look Cake Box Holdings Plc (LON:CBOX) insider transactions over the last year, we can see that insiders were net buyers. In other words, there were more shares purchased by insiders than were sold.
While insider trading is not 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 Cake Box Holdings
Cake Box Holdings Internal Transactions Over the Last Year
In the last twelve months, the biggest single purchase by an insider was when co-founder Sukh Chamdal bought £87k worth of shares at £1.74 per share. This means that an insider was happy to buy shares at around the current price of £1.80. This means that they have been bullish on the company in the past, although they may have changed their minds. While we always like to see insider buying, it makes less sense if the purchases were made at much lower prices, as the opportunity they saw may have passed. Fortunately, the Cake Box Holdings insider decided to buy shares at a price close to current prices. Sukh Chamdal was the only individual insider to buy in the last year.
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, just click on the chart below!
Cake Box Holdings isn’t the only stock insiders are buying. For those who like to find small-cap companies with attractive valuations, This free A list of growing companies with recent insider buying might be the perfect fit.
Internal ownership of Cake Box Holdings
I like to look at how many shares insiders own in a company, to help me assess how aligned they are with insiders. I think it’s a good sign if insiders own a significant number of shares in the company. Cake Box Holdings insiders own about UK£22m worth of shares. That’s equivalent to 30% of the company. We’ve certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and other shareholders.
So what do Cake Box Holdings’ internal transactions indicate?
It’s good to see recent insider buying. And longer term insider transactions also give us confidence. Given that insiders also own a fair bit of Cake Box Holdings, we think they’re probably pretty confident about a bright future. So while it’s useful to know what insiders are doing in terms of buying or selling, it’s also useful to know what risks a particular company is facing. In our analysis, we found that Cake Box Holdings has 2 warning signs and it would be unwise to ignore them.
But beware : Cake Box Holdings 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 those persons who report their transactions to the relevant regulator. We currently only count open market transactions and private sales of direct holdings, but not derivative transactions or indirect holdings.
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This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts using only unbiased methodology and our articles are not intended to constitute financial advice. This is not a recommendation to buy or sell any stock, and does not take into account your objectives or financial situation. Our goal is to provide you with focused, long-term analysis based on fundamental data. Please note that our analysis may not factor in the latest price-sensitive company announcements or qualitative information. Simply Wall St has no position in any of the stocks mentioned.
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