In the last year, multiple insiders have substantially increased their holdings of Cash Converters International Limited (ASX:CCV) stock, indicating that insiders' optimism about the company's prospects has increased.

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.

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Cash Converters International Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when CEO, MD & Executive Director Sam Budiselik bought AU$2.0m worth of shares at a price of AU$0.22 per share. That implies that an insider found the current price of AU$0.23 per share to be enticing. That means they have been optimistic about the company in the past, though they may have changed their mind. 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. Notably Sam Budiselik was also the biggest seller.

Happily, we note that in the last year insiders paid AU$2.0m for 9.02m shares. On the other hand they divested 8.85m shares, for AU$2.0m. In total, Cash Converters International 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!

See our latest analysis for Cash Converters International

Cash Converters International 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 Of Cash Converters International

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. Insiders own 10.0% of Cash Converters International shares, worth about AU$15m, according to our data. We do generally prefer see higher levels of insider ownership.

What Might The Insider Transactions At Cash Converters International Tell Us?

It doesn't really mean much that no insider has traded Cash Converters International shares in the last quarter. However, our analysis of transactions over the last year is heartening. Insiders do have a stake in Cash Converters International and their transactions don't cause us concern. 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. You'd be interested to know, that we found 2 warning signs for Cash Converters International and we suggest you have a look.

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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.