David Harrison of Charter Hall Social Infrastructure REIT (ASX:CQE) Just Spent AU$74k On A Handful Of Shares

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Whilst it may not be a huge deal, we thought it was good to see that David Harrison, who is a company insider, recently bought AU$74k worth of stock, for AU$2.46 per share. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.

See our latest analysis for Charter Hall Social Infrastructure REIT

Charter Hall Social Infrastructure REIT Insider Transactions Over The Last Year

Notably, that recent purchase by David Harrison is the biggest insider purchase of Charter Hall Social Infrastructure REIT shares that we've seen in the last year. So it's clear an insider wanted to buy, at around the current price, which is AU$2.50. Of course they may have changed their mind. But this suggests they are optimistic. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the Charter Hall Social Infrastructure REIT insider decided to buy shares at close to current prices. David Harrison was the only individual insider to buy during the last year.

You can see a visual depiction of insider transactions (by 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!

ASX:CQE Recent Insider Trading May 30th 2020
ASX:CQE Recent Insider Trading May 30th 2020

Charter Hall Social Infrastructure REIT is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Does Charter Hall Social Infrastructure REIT Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 4.9% of Charter Hall Social Infrastructure REIT shares, worth about AU$43m. 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 Charter Hall Social Infrastructure REIT Insider Transactions Indicate?

The recent insider purchase is heartening. And the longer term insider transactions also give us confidence. Given that insiders also own a fair bit of Charter Hall Social Infrastructure REIT we think they are probably pretty confident of a bright future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Charter Hall Social Infrastructure REIT. You'd be interested to know, that we found 4 warning signs for Charter Hall Social Infrastructure REIT and we suggest you have a look.

But note: Charter Hall Social Infrastructure REIT 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, but not derivative transactions.

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This article by Simply Wall St is general in nature. 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. Thank you for reading.

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