Cybeats Technologies Corp. (CSE:CYBT) insiders who purchased shares in the last 12 months were richly rewarded last week. The stock climbed by 24% resulting in a CA$9.7m addition to the company’s market value. As a result, their original purchase of CA$571.9k worth of stock is now worth CA$1.09m.
Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.
The Last 12 Months Of Insider Transactions At Cybeats Technologies
Over the last year, we can see that the biggest insider purchase was by insider Tejinder Kaushik for CA$298k worth of shares, at about CA$0.12 per share. We do like to see buying, but this purchase was made at well below the current price of CA$0.23. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
In the last twelve months Cybeats Technologies insiders were buying shares, but not selling. 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!
See our latest analysis for Cybeats Technologies
There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).
Insider Ownership Of Cybeats Technologies
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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Our data indicates that Cybeats Technologies insiders own about CA$3.1m worth of shares (which is 7.0% of the company). We do generally prefer see higher levels of insider ownership.
What Might The Insider Transactions At Cybeats Technologies Tell Us?
It doesn't really mean much that no insider has traded Cybeats Technologies shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. While we have no worries about the insider transactions, we'd be more comfortable if they owned more Cybeats Technologies stock. 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 that end, you should learn about the 5 warning signs we've spotted with Cybeats Technologies (including 2 which are potentially serious).
But note: Cybeats Technologies 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.