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We've lost count of how many times insiders have
accumulated shares in a company that goes on to improve markedly.
On the other hand, we'd be remiss not to mention that insider sales
have been known to precede tough periods for a business. So we'll
take a look at whether insiders have been buying or selling shares
in 1933 Industries Inc. (CNSX:TGIF).
It is perfectly legal for company insiders,
including board members, to buy and sell stock in a company.
However, most countries require that the company discloses such
transactions to the market.
We would never suggest that investors should base
their decisions solely on what the directors of a company have been
doing. But equally, we would consider it foolish to ignore insider
transactions altogether. For example, a Columbia University
study found that 'insiders are more likely
to engage in open market purchases of their own companyâs stock
when the firm is about to reveal new agreements with customers and
View our latest analysis
for 1933 Industries
While there weren't any large insider
transactions in the last twelve months, it's still worth looking at
Over the last year, we can see that insiders have
bought 120k shares worth CA$61k. In the last twelve months 1933
Industries insiders were buying shares, but not selling. You can
see the insider transactions (by individuals) over the last year
depicted in the chart below. 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.
Over the last three months, we've seen a bit of
insider buying at 1933 Industries. Insiders purchased CA$61k worth
of shares in that period. It's good to see the insider buying, as
well as the lack of recent sellers. But the amount invested in the
last three months isn't enough for us too put much weight on it, as
a single factor.
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. Insiders own 6.1% of 1933 Industries shares,
worth about CA$7.6m, according to our data. Overall, this level of
ownership isn't that impressive, but it's certainly better than
It is good to see recent purchasing. 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 1933 Industries insiders are
expecting a bright future. Of course, the future is what
matters most. So if you are interested in 1933 Industries,
you should check out this free report on analyst forecasts
for the company.
But note: 1933 Industries 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
We aim to bring you long-term focused research
analysis driven by fundamental data. Note that our analysis may not
factor in the latest price-sensitive company announcements or
If you spot an error that warrants correction, please contact
the editor at
[email protected] 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. Simply Wall St has no
position in the stocks mentioned. Thank you for reading.