Insider Buying: The Paynova AB (NGM:PAY) Independent Director Just Bought 17% More Shares – Simply Wall St

Whilst it may not be a huge deal, we thought it was good to see that the Paynova AB (NGM:PAY) Independent Director, Mats Holmfeldt, recently bought kr220k worth of stock, for kr10.49 per share. While we’re hesitant to get too excited about a purchase of that size, we do note it increased their holding by a solid 17%.

See our latest analysis for Paynova

The Last 12 Months Of Insider Transactions At Paynova

There wasn’t any very large single transaction over the last year, but we can still observe some trading.

Over the last year, we can see that insiders have bought 126.00k shares worth kr1.5m. On the other hand they divested 54.00k shares, for kr680k. In total, Paynova insiders bought more than they sold over the last year. You can see the insider transactions (by companies and 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!

insider-trading-volume
NGM:PAY Insider Trading Volume September 26th 2021

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.

Does Paynova 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. I reckon it’s a good sign if insiders own a significant number of shares in the company. It appears that Paynova insiders own 19% of the company, worth about kr32m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The Paynova Insider Transactions Indicate?

The recent insider purchases are heartening. And the longer term insider transactions also give 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 Paynova insiders are well aligned, and that they may think the share price is too low. In addition to knowing about insider transactions going on, it’s beneficial to identify the risks facing Paynova. For instance, we’ve identified 5 warning signs for Paynova (2 don’t sit too well with us) you should be aware of.

Of course Paynova may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

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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