Centuri Holdings, Inc. (NYSE:CTRI) insiders who bought shares over the past year were rewarded handsomely last week. The stock rose 10%, resulting in a US$153m rise in the company's market capitalisation, translating to a gain of 12% on their initial investment. In other words, the original US$346.6k purchase is now worth US$387.5k.
Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.
We check all companies for important risks. See what we found for Centuri Holdings in our free report.Over the last year, we can see that the biggest insider purchase was by insider William Fehrman for US$330k worth of shares, at about US$16.50 per share. We do like to see buying, but this purchase was made at well below the current price of US$18.45. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
While Centuri Holdings insiders bought shares during the last year, they didn't sell. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Check out our latest analysis for Centuri Holdings
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).
Over the last three months, we've seen a bit of insider buying at Centuri Holdings. Independent Director Julie Dill bought US$17k worth of shares in that time. It's great to see that insiders are only buying, not selling. But in this case the amount purchased means the recent transaction may not be very meaningful on its own.
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Our data suggests Centuri Holdings insiders own 0.2% of the company, worth about US$2.4m. We consider this fairly low insider ownership.
We note a that there has been a bit of insider buying recently (but no selling). That said, the purchases were not large. But insiders have shown more of an appetite for the stock, over the last year. We'd like to see bigger individual holdings. However, we don't see anything to make us think Centuri Holdings insiders are doubting the company. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Centuri Holdings.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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 of direct interests only, but not derivative transactions or indirect interests.
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