Anup Engineering Additional Independent Director Acquires 3.0% More Stock

Simply Wall St · 08/31 02:14

Investors who take an interest in The Anup Engineering Limited (NSE:ANUP) should definitely note that the Additional Independent Director, Gokul Jaykrishna, recently paid ₹2,184 per share to buy ₹22m worth of the stock. Although the purchase only increased their holding by 3.0%, it is still a solid purchase in our view.

View our latest analysis for Anup Engineering

Anup Engineering Insider Transactions Over The Last Year

Notably, that recent purchase by Gokul Jaykrishna is the biggest insider purchase of Anup Engineering shares that we've seen in the last year. That implies that an insider found the current price of ₹2,209 per share to be enticing. 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. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. Happily, the Anup Engineering insiders decided to buy shares at close to current prices.

In the last twelve months Anup Engineering insiders were buying shares, but not selling. Their average price was about ₹1,830. To my mind it is good that insiders have invested their own money in the company. But we must note that the investments were made at well below today's share price. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

insider-trading-volume
NSEI:ANUP Insider Trading Volume August 31st 2024

Anup Engineering is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

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. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Anup Engineering insiders own 7.8% of the company, worth about ₹3.4b. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

What Might The Insider Transactions At Anup Engineering Tell Us?

The recent insider purchase is heartening. And an analysis of the transactions over the last year also gives us confidence. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Anup Engineering. Looks promising! While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. In terms of investment risks, we've identified 1 warning sign with Anup Engineering and understanding this should be part of your investment process.

Of course Anup Engineering 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 of direct interests only, but not derivative transactions or indirect interests.