VOXX), Patrick Lavelle, just spent US$96,000 to buy 3.0% more shares

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Although not a huge purchase, we think it was good to see that Patrick Lavelle, the president of VOXX International Society (NASDAQ:VOXX) recently paid US$96,000 to buy shares, at US$6.31 per share. However, this only increased their holdings by 3.0%, and it was not a huge buy in absolute terms either.

Check out our latest analysis for VOXX International

The last 12 months of insider trading at VOXX International

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. It is therefore clear that an insider wanted to buy, even at a price higher than the current price of the stock (ie US$8.32). Although their perspective has changed since the purchase, it at least suggests that they have confidence in the future of the company. In our view, the price an insider pays for a stock is very important. 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 382,200 shares for $4.1 million. On the other hand, they sold 1,000 shares, for 10,000 USD. Overall, VOXX International insiders have been net buyers over the past year. The chart below shows insider trading (by companies and individuals) over the past year. By clicking on the graph below, you will be able to see the precise detail of each insider trade!

volume-of-insider-trading

VOXX International isn’t the only insider stock to buy. So take a look at this free list of growing companies with insider buying.

Insider Ownership of VOXX International

Another way to test alignment between a company’s executives and other shareholders is to look at how many shares they own. I think it’s a good sign if insiders have a significant number of shares in the company. Insiders of VOXX International own approximately $30 million in stock. This equals 15% of the business. We have certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest an alignment between insiders and other shareholders.

So what does this data suggest about international VOXX insiders?

Good 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. When combined with notable insider ownership, these factors suggest that VOXX International insiders are well aligned and may believe the stock price is too low. In addition to knowing the insider trading taking place, it is beneficial to identify the risks that VOXX International faces. Every business has risks, and we’ve spotted 2 warning signs for VOXX International you should know.

But note: VOXX International may not be the best stock to buy. So take a look at this free list of interesting companies with high ROE 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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