Independent Non-Executive Chair Bernard Ridgeway Just Bought 11% More Shares In Artrya Limited (ASX:AYA)

Even if it's not a huge purchase, we think it was good to see that Bernard Ridgeway, the Independent Non-Executive Chair of Artrya Limited (ASX:AYA) recently shelled out AU$96k to buy stock, at AU$0.32 per share. That purchase might not be huge but it did increase their holding by 11%.

Check out our latest analysis for Artrya

The Last 12 Months Of Insider Transactions At Artrya

Notably, that recent purchase by Bernard Ridgeway is the biggest insider purchase of Artrya shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of AU$0.33. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. In this case we're pleased to report that the insider purchases were made at close to current prices.

While Artrya insiders bought shares during the last year, they didn't sell. They paid about AU$0.47 on average. These transactions suggest that insiders have considered the current price attractive. 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!

Artrya is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Does Artrya 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. We usually like to see fairly high levels of insider ownership. It appears that Artrya insiders own 32% of the company, worth about AU$8.3m. 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 Artrya Tell Us?

The recent insider purchases are heartening. And an analysis of the transactions over the last year also gives us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. When combined with notable insider ownership, these factors suggest Artrya insiders are well aligned, and that they may think the share price is too low. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. When we did our research, we found 3 warning signs for Artrya (2 make us uncomfortable!) that we believe deserve your full attention.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.

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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.

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