Even if it’s not a huge purchase, we think it was good to see that Scott Morrison, the Independent Trustee of Boardwalk Real Estate Investment Trust (TSE:BEI.UN) recently shelled out CA$51k to buy stock, at CA$40.49 per share. However, it only increased their shares held by 9.1%, and it wasn’t a huge purchase by absolute value, either.
View our latest analysis for Boardwalk Real Estate Investment Trust
The Last 12 Months Of Insider Transactions At Boardwalk Real Estate Investment Trust
In fact, the recent purchase by Scott Morrison was the biggest purchase of Boardwalk Real Estate Investment Trust shares made by an insider individual in the last twelve months, according to our records. That implies that an insider found the current price of CA$41.80 per share to be enticing. That means they have been optimistic about the company in the past, though they may have changed their mind. 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 purchases were made at close to current prices.
In the last twelve months Boardwalk Real Estate Investment Trust insiders were buying shares, but not selling. The average buy price was around CA$31.71. It is certainly positive to see that insiders have invested their own money in the company. However, we do note that they were buying at significantly lower prices than today’s share price of CA$41.80. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
TSX:BEI.UN Insider Trading Volume July 6th 2021
There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Boardwalk Real Estate Investment Trust insiders own about CA$280m worth of shares (which is 13% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Do The Boardwalk Real Estate Investment Trust Insider Transactions Indicate?
It’s certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. However, we note that the company didn’t make a profit over the last twelve months, which makes us cautious. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Boardwalk Real Estate Investment Trust. Nice! So while it’s helpful to know what insiders are doing in terms of buying or selling, it’s also helpful to know the risks that a particular company is facing. At Simply Wall St, we’ve found that Boardwalk Real Estate Investment Trust has 3 warning signs (2 shouldn’t be ignored!) that deserve your attention before going any further with your analysis.
Of course Boardwalk Real Estate Investment Trust may not be the best stock to buy. So you may wish to see this free collection of high quality 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, 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.
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