Bullish insiders bet $4.0 million on VOXX International Corporation (NASDAQ:VOXX)

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Usually, when an insider buys stocks, it may not be a monumental event. But when several insiders buy as they did in the case of VOXX International Society (NASDAQ:VOXX), which sends a positive message to the company’s shareholders.

While we would never suggest that investors base their decisions solely on what a company’s directors have done, we think it makes perfect sense to keep tabs on what insiders are doing.

Check out our latest analysis for VOXX International

VOXX International Insider Transactions Over the Last Year

Independent director Beat Kahli has made the biggest insider buy in the past 12 months. This single transaction involved US$333,000 of shares at a price of US$10.37 each. Clearly, an insider wanted to buy, even at a price above the current stock price (ie US$8.20). Their perspective may have changed since then, but it at least shows that they were feeling optimistic at the time. We always take careful note of the price paid by insiders when buying stocks. It is generally more encouraging if they paid above the current price, as this suggests that they perceived value even at higher levels.

Over the past twelve months, insiders have purchased 366,000 shares for $4.0 million. But insiders sold 1,000 shares worth $10,000. Over the past twelve months, there have been more buys than sells by VOXX International insiders. You can see insider trading (by companies and individuals) over the past year illustrated in the table below. If you click on the chart, you can see all individual trades including stock price, individual and date!

volume-of-insider-trading

VOXX International isn’t the only stock insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider buying, might be just the ticket.

VOXX International Insiders Recently Bought Stock

It’s good to see that VOXX International insiders have made notable investments in the company’s stock. Specifically, President Patrick Lavelle bought US$128,000 worth of stock at that time, and we saw no sales. This could be interpreted as suggesting a positive outlook.

Insider Ownership of VOXX International

Many investors like to check how much a company is owned by insiders. I think it’s a good sign if insiders have a significant number of shares in the company. Insiders own 15% of VOXX International shares, worth approximately $29 million. This level of insider ownership is good, but just short of being particularly noteworthy. This certainly suggests a reasonable degree of alignment.

So what does this data suggest about international VOXX insiders?

It is certainly positive to see the recent insider buying. And an analysis of last year’s transactions also gives us confidence. But on the other hand, the company has made a loss in the last year, which makes us a bit cautious. Given that insiders also own a good chunk of VOXX International, we think they’re probably pretty confident of a bright future. In addition to knowing the insider trading taking place, it is beneficial to identify the risks that VOXX International faces. To do this, you need to find out about the 2 warning signs we spotted with VOXX International (including 1 that makes us a little uncomfortable).

If you’d rather check out another company – one with potentially superior finances – then don’t miss this free list of attractive companies, which have a high return on equity and low debt.

For the purposes of this article, insiders are persons who report their transactions to the relevant regulatory body. We currently record open market transactions and private dispositions, but not derivative transactions.

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This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts only using unbiased methodology and our articles are not intended to be financial advice. It is not a recommendation to buy or sell stocks and does not take into account your objectives or financial situation. Our goal is to bring you targeted long-term analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price-sensitive companies or qualitative materials. Simply Wall St has no position in the stocks mentioned.

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