Even if it's not a huge purchase, we think it was good to see that Mark Lindh, the Independent Non-Executive Chairman of Aerometrex Limited (ASX:AMX) recently shelled out AU$100k to buy stock, at AU$0.78 per share. While that isn't the hugest buy, it actually boosted their shareholding by 77%, which is good to see.

Check out our latest analysis for Aerometrex

The Last 12 Months Of Insider Transactions At Aerometrex

Notably, that recent purchase by Mark Lindh is the biggest insider purchase of Aerometrex shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of AU$0.78. 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. Happily, the Aerometrex insiders decided to buy shares at close to current prices.

Aerometrex insiders may have bought shares in the last year, but they didn't sell any. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

Aerometrex is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Does Aerometrex Boast High Insider Ownership?

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. Aerometrex insiders own 53% of the company, currently worth about AU$39m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Does This Data Suggest About Aerometrex Insiders?

It is good to see recent purchasing. 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. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Aerometrex. Looks promising! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Aerometrex. In terms of investment risks, we've identified 1 warning sign with Aerometrex and understanding it should be part of your investment process.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.

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 to be financial advice. 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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