Potential Turtle Beach Corporation (NASDAQ:HEAR) shareholders may wish to note that the Independent Director, William Wyatt, recently bought US$294k worth of stock, paying US$14.71 for each share. That's a very decent purchase to our minds and it grew their holding by a solid 34%.
Turtle Beach Insider Transactions Over The Last Year
Notably, that recent purchase by William Wyatt is the biggest insider purchase of Turtle Beach shares that we've seen in the last year. So it's clear an insider wanted to buy, at around the current price, which is US$15.20. Of course they may have changed their mind. But this suggests they are optimistic. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. The good news for Turtle Beach share holders is that insiders were buying at near the current price.
Over the last year, we can see that insiders have bought 45.65k shares worth US$706k. But insiders sold 5.04k shares worth US$83k. In total, Turtle Beach insiders bought more than they sold over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Turtle Beach is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.
Does Turtle Beach 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. A high insider ownership often makes company leadership more mindful of shareholder interests. Our data indicates that Turtle Beach insiders own about US$6.5m worth of shares (which is 2.1% of the company). We do generally prefer see higher levels of insider ownership.
What Might The Insider Transactions At Turtle Beach Tell Us?
It is good to see recent purchasing. And the longer term insider transactions also give us confidence. But we don't feel the same about the fact the company is making losses. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Turtle Beach insiders are expecting 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. You'd be interested to know, that we found 1 warning sign for Turtle Beach and we suggest you have a look.
But note: Turtle Beach 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 of direct interests only, but not derivative transactions or indirect interests.
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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.
