Potential JD Sports Fashion plc (LON:JD.) shareholders may wish to note that the chairman, Andrew Higginson, recently bought £241,000 worth of shares, paying £1.51 for each share. We think this is a good sign, especially since the purchase increased their share by 53%.
Check out our latest analysis for JD Sports Fashion
JD Sports Fashion Insider transactions over the past year
In fact, chairman Andrew Higginson’s recent purchase was not the only time they bought shares in JD Sports Fashion this year. They previously made an even larger purchase of shares worth 397 thousand British pounds at a price of 1.33 British pounds per share. Although the purchase was made at a significantly lower price than recently (£1.60), we still consider insider buying to be positive. While it suggests that insiders think the stock is undervalued at lower prices, this transaction doesn’t tell us much about what they think of current prices.
Over the past twelve months, JD Sports Fashion insiders have been buying but not selling shares. The chart below shows insider transactions (by companies and individuals) over the past year. If you want to know exactly who sold, for how much and when, simply click on the chart below!
JD Sports Fashion isn’t the only thing insiders buy. So take a look at this free list of growing companies with insider buying.
Insider ownership of JD Sports Fashion
I like to look at how much stock insiders own in a company, to better inform my opinion on how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. Our data does not show much insider ownership in JD Sports Fashion, although insiders hold shares worth around GBP 535k. However, it is possible that insiders could have an indirect interest through a more complex structure. Maybe we’re missing something, but that seems like very low insider ownership.
So what does this data suggest about JD Sports Fashion Insiders?
It is certainly positive to see the recent insider buying. We also rely on the longer-term picture of insider transactions. We would certainly prefer to see higher levels of insider ownership, but an analysis of insider transactions suggests that JD Sports Fashion insiders have a bright future ahead of them. In addition to the knowledge of the insider transactions taking place, it is useful to identify the risks that JD Sports Fashion faces. To help with this, we discovered 2 warning signs which you should review to get a better picture of JD Sports Fashion.
Of course JD Sports Fashion may not be the best stock to buy. You might like to see this free a collection of high-quality companies.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory authority. We currently account for open market transactions and private placements, but not derivative transactions.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended as financial advice. It does not constitute a recommendation to buy or sell shares and does not take into account your goals or your financial situation. Our goal is to provide you with long-term focused analysis driven by fundamental data. Please note that our analysis may not take into account the company’s latest price-sensitive announcements or qualitative material. Simply Wall St has no position in any of the stocks mentioned.
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