Insider Buying: The Urbanise.com Limited (ASX:UBN) Non-Executive Chairman of the Board Just Bought 30% More Shares

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Even if it's not a huge purchase, we think it was good to see that Almero Strauss, the Non-Executive Chairman of the Board of Urbanise.com Limited (ASX:UBN) recently shelled out AU$54k to buy stock, at AU$0.077 per share. That purchase might not be huge but it did increase their holding by 30%.

Check out our latest analysis for Urbanise.com

The Last 12 Months Of Insider Transactions At Urbanise.com

Notably, that recent purchase by Almero Strauss is the biggest insider purchase of Urbanise.com 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$0.077. 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. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. In this case we're pleased to report that the insider bought shares at close to current prices. The only individual insider to buy over the last year was Almero Strauss.

The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Does Urbanise.com Boast High 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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Based on our data, Urbanise.com insiders have about 4.1% of the stock, worth approximately AU$2.6m. However, it's possible that insiders might have an indirect interest through a more complex structure. We consider this fairly low insider ownership.

So What Do The Urbanise.com Insider Transactions Indicate?

It is good to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. But on the other hand, the company made a loss during the last year, which makes us a little cautious. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Urbanise.com insiders are expecting a bright future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we found 3 warning signs for Urbanise.com that deserve your attention before buying any shares.

But note: Urbanise.com 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.

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.

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