It’s been a great week for Mold-Tek Technologies Limited (NSE: MOLDTECH) Shareholders, after the stock rose 14%, should view them with caution. The fact that insiders sold yen 8.8 million worth of shares in the past 12 months, even though prices were relatively low, could indicate expected weakness.
While we do not believe that shareholders should simply follow insider trades, logically, you should be careful about whether insiders are buying or selling stocks.
Check out our latest analysis for Mold-Tek Technologies
Mold-Tek Technologies insider deals last year
The insider’s biggest single sale in the past twelve months was when the insider sold Adivishnu Sundeep shares valued at 4.8 million yen at a price of 66.83 yen per share. So it’s clear that an insider wanted to take some money off the table, even below the current price of 84.80 yen. If an insider sells below the current price, it indicates that they think that lower price is fair. That makes us wonder what you think of the (higher) recent rating. While insider selling is not a positive sign, we cannot be sure whether insiders think the stocks are fully valued, so this is only a weak sign. We find that the largest single sale was only 13% of Adivishnu Sundeep’s stake.
Mold-Tek Technologies insiders didn’t buy any shares in the past year. You can see insider transactions (by companies and individuals) over the past year in the graph below. If you want to know exactly who sold how much when, just click on the graphic below!
If you’re buying stocks that insiders are buying instead of selling, then maybe you will love this for free List of companies. (Note: Insiders bought them).
Mold-Tek Technologies inside property
I like to look at how many stocks insiders own in a company to help convey my opinion on how well they are connected to insiders. I think it’s a good sign when insiders own a significant number of shares in the company. Mold-Tek Technologies insiders own shares worth approximately 1.3 billion yen (that’s 52% of the company). Most shareholders would be happy to have this type of insider ownership as it suggests that management’s incentives are well aligned with the other shareholders.
What does this data say about Mold-Tek Technologies insiders?
The fact that there has been no insider trading by Mold-Tek Technologies recently certainly doesn’t bother us. It is encouraging to see insiders own a lot of stocks, but we would like to see more insider buying as Mold-Tek Technologies’ last year of insider trading has not filled us with confidence. So, these insider deals can help us form a thesis about the stock, but it’s also worth knowing the risks this company faces. To help with this, we discovered 2 warning signs that you should run your eye over to get a better idea of Mold-Tek Technologies.
If you prefer to look at another company – one with potentially superior financials – then don’t miss out on this for free List of interesting companies that have HIGH return on equity and low debt.
For the purposes of this article, insiders are persons who report their transactions to the competent supervisory authority. We currently account for open market transactions and private dispositions, but no derivative transactions.
This article from Simply Wall St is of a general nature. We only provide comments based on historical data and analyst projections using an unbiased methodology, and our articles are not intended as financial advice. It is not a recommendation to buy or sell stocks and does not take into account your goals or your financial situation. Our goal is to provide you with long-term, focused analysis based on fundamentals. Note that our analysis may not take into account the latest company announcements or quality material, which may be sensitive to the price. Simply Wall St has no position in any of the stocks mentioned.
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