Even if it's not a huge purchase, we think it was good to see that Ciaran Long, the Chief Financial Officer of a.k.a. Brands Holding Corp. (NYSE:AKA) recently shelled out US$50k to buy stock, at US$0.63 per share. That purchase might not be huge but it did increase their holding by 26%.
View our latest analysis for a.k.a. Brands Holding
a.k.a. Brands Holding Insider Transactions Over The Last Year
In fact, the recent purchase by Ciaran Long was the biggest purchase of a.k.a. Brands Holding shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is US$0.68. Of course they may have changed their mind. But this suggests they are optimistic. 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 a.k.a. Brands Holding share holders is that an insider was buying at near the current price. Ciaran Long was the only individual insider to buy shares in the last twelve months.
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!
a.k.a. Brands Holding is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership Of a.k.a. Brands Holding
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. A high insider ownership often makes company leadership more mindful of shareholder interests. a.k.a. Brands Holding insiders own about US$17m worth of shares. That equates to 19% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
What Might The Insider Transactions At a.k.a. Brands Holding Tell Us?
The recent insider purchase is heartening. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. Given that insiders also own a fair bit of a.k.a. Brands Holding we think they are probably pretty confident of a bright future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. To help with this, we've discovered 2 warning signs (1 is a bit concerning!) that you ought to be aware of before buying any shares in a.k.a. Brands Holding.
Of course a.k.a. Brands Holding may not be the best stock to buy. So you may wish to see this free collection 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.
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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.