Usually, when one insider buys stock, it might not be a monumental event. But when multiple insiders are buying like they did in the case of New Zealand King Salmon Investments Limited (NZSE:NZK), that sends out a positive message to the company's shareholders.

While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

Check out our latest analysis for New Zealand King Salmon Investments

The Last 12 Months Of Insider Transactions At New Zealand King Salmon Investments

The Non-Executive Director Jack Porus made the biggest insider purchase in the last 12 months. That single transaction was for NZ$349k worth of shares at a price of NZ$0.27 each. That means that an insider was happy to buy shares at above the current price of NZ$0.23. 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. In our view, the price an insider pays for shares is very important. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.

While New Zealand King Salmon Investments insiders bought shares during the last year, they didn't sell. 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!

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 New Zealand King Salmon Investments

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Our data suggests New Zealand King Salmon Investments insiders own 4.9% of the company, worth about NZ$6.1m. 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 Does This Data Suggest About New Zealand King Salmon Investments Insiders?

The fact that there have been no New Zealand King Salmon Investments insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. While we have no worries about the insider transactions, we'd be more comfortable if they owned more New Zealand King Salmon Investments stock. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing New Zealand King Salmon Investments. To help with this, we've discovered 3 warning signs (1 is potentially serious!) that you ought to be aware of before buying any shares in New Zealand King Salmon Investments.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.