Insider buying: The Mortgage Advice Bureau (Holdings) plc (LON:MAB1) Deputy Managing Director and Director has just bought 25% more shares

Investors interested in Mortgage Advisory Office (Holdings) plc (LON:MAB1) should certainly note that Deputy Managing Director and Director Benjamin Thompson recently paid £5.95 a share to buy £100,000 worth of shares. It’s a very decent buy in our eyes and it increased their stake by a solid 25%.

Check out our latest analysis for Mortgage Advice Bureau (Holdings)

Mortgage Advice Bureau insider trades (holdings) in the last year

In fact, the recent purchase by Deputy Managing Director and Director Benjamin Thompson wasn’t their only Mortgage Advice Bureau (Holdings) stock deal this year. Earlier in the year they sold shares at a price of £13.33 per share in a deal of -£733,000. We usually don’t like insider selling, but the lower the selling price, the more we’re concerned about it. It is reassuring that this sale was made at a price well above the current share price of UK£4.96. So this may not shed much light on insider confidence at current levels.

Over the last year we can see that insiders have bought 27.28,000 shares worth £208,000. But they sold 55,000 shares for £733,000 in the UK. The chart below shows insider trading (by companies and individuals) over the past year. If you want to know exactly who sold, how much and when, just click on the chart below!

AIM: MAB1 Insider Trading Volume October 13, 2022

If you like buying stocks that insiders are buying, rather than selling, then you might love this free list of companies. (Hint: insiders bought them).

Insider ownership

For an ordinary shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely insiders will be incentivized to build the business for the long term. Insiders at the Mortgage Advice Bureau (Holdings) own around £5.7bn of shares (or 20% of the company). I like to see this level of insider ownership because it increases the chances that management is thinking about the best interests of shareholders.

So what does this data suggest about insiders at the Mortgage Advisory Bureau (Holdings)?

It is certainly positive to see the recent insider buying. However, longer-term trades are not so encouraging. Recent buying by some insiders, along with strong insider ownership, suggests that insiders at the Mortgage Advisory Office (Holdings) are quite aligned and optimistic. While we like to know what’s going on with insider ownership and trading, we also make sure to consider the risks a stock faces before making any investment decisions. Example: we have identified 3 warning signs for Mortgage Advice Bureau (Holdings) you should be aware.

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.

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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