Those following along with Liberty Global Ltd. (NASDAQ:LBTY.A) will no doubt be intrigued by the recent purchase of shares by Enrique Rodriguez, Executive VP & CTO of the company, who spent a stonking US$2.0m on stock at an average price of US$9.45. Not only is that a big swing, but it increased their holding size by 43%, which is definitely great to see.
Liberty Global Insider Transactions Over The Last Year
In fact, the recent purchase by Enrique Rodriguez was the biggest purchase of Liberty Global shares made by an insider individual in the last twelve months, according to our records. That implies that an insider found the current price of US$9.90 per share to be enticing. 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.
In the last twelve months insiders purchased 321.31k shares for US$3.0m. But insiders sold 214.57k shares worth US$2.6m. In the last twelve months there was more buying than selling by Liberty Global insiders. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
Check out our latest analysis for Liberty Global
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.
Insider Ownership Of Liberty Global
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. Liberty Global insiders own about US$395m worth of shares (which is 12% of the company). I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
What Might The Insider Transactions At Liberty Global Tell Us?
The recent insider purchases are heartening. 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. When combined with notable insider ownership, these factors suggest Liberty Global insiders are well aligned, and quite possibly think the share price is too low. Looks promising! While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. At Simply Wall St, we found 1 warning sign for Liberty Global that deserve your attention before buying any shares.
But note: Liberty Global 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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