Investors who take an interest in Old Market Capital Corporation (NASDAQ:OMCC) should definitely note that the CEO & Chairman, Jeffrey Royal, recently paid US$6.00 per share to buy US$189k worth of the stock. That's a very decent purchase to our minds and it grew their holding by a solid 46%.

Check out our latest analysis for Old Market Capital

The Last 12 Months Of Insider Transactions At Old Market Capital

Notably, that recent purchase by Jeffrey Royal is the biggest insider purchase of Old Market Capital 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 US$6.02. Of course they may have changed their mind. But this suggests they are optimistic. 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. The good news for Old Market Capital share holders is that insiders were buying at near the current price.

Old Market Capital insiders may have bought shares in the last year, but they didn't sell any. 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!

Old Market Capital is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership

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. A high insider ownership often makes company leadership more mindful of shareholder interests. Our data suggests Old Market Capital insiders own 2.1% of the company, worth about US$848k. But they may have an indirect interest through a corporate structure that we haven't picked up on. I generally like to see higher levels of ownership.

So What Do The Old Market Capital Insider Transactions Indicate?

It's certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on Old Market Capital stock. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Old Market Capital. To help with this, we've discovered 2 warning signs (1 shouldn't be ignored!) that you ought to be aware of before buying any shares in Old Market Capital.

But note: Old Market Capital 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.