We regularly share a monthly roundup of insiders who have increased their stock holdings by significant percentages recently.
In our July edition, we covered Jupiter Fund Management PLC, Berkeley Group Holdings PLC, and Bergman & Beving Aktiebolag.
Why Should You Track Insider Holding Percentages?
Tracking insider trading activity is incredibly valuable for potential investors, especially when focusing on how much a trade increases an insider’s holding by.
If two insiders each spent $200,000 on company stock, but one increased their holding by 20% while the other raised theirs by 90%, the 90% increase would be a more bullish sign.
The three cases below show significant increases in insider holdings and are interesting examples of bullish insider trading.
Surgalign Holdings Inc (SRGA:US)
Terry Rich, CEO of US spine solutions company Surgalign, bought 1,078,701 SRGA shares between $0.91 and $0.94 per share. The insider spent just over $1 million on his purchases in August 2021.
This raised Rich’s holdings to 2,773 million shares, a 64% increase. This activity is notable not just for its substantial value, but also because he has over 25 years of orthopaedic, spine and medical device industry experience.
The insider buying report on Terry Rich’s purchase provides more analysis.
Whitbread PLC (WTB:LN)
Shifting over to Europe, Whitbread operates hotels and restaurants in the UK and Germany. 2iQ reported on significant insider trading in August 2021.
Chairman of the Board at Whitbread, Adam Crozier, purchased 6,430 WTB shares at £31.11 per share. The purchase cost Mr. Crozier around £200,000. This raised his holdings by around 86%.
This investment is a bullish signal, as by nearly doubling the Chairman’s holding, it suggests he’s very confident in Whitbread’s prospects. Two other directors at Whitbread have also bought WTB shares recently.
Mr. Crozier is a highly accomplished businessman, holding CEO roles at ITV, the Football Association, Saatchi and Saatchi, and Royal Mail Group.
Crown Holdings Inc (CCK:US)
Lastly, we have Crown Holdings, who are the number one producer of food cans and metal vacuum closures globally, and the number two producer of beverage cans in the world. The company has a market capitalization of $14.1 billion and is traded on the New York Stock Exchange.
Director Craig Owens purchased 2,000 CCK shares at a price of $105.62 per share. This purchase cost the Mr. Owens around $211,000.
The purchase increased Mr. Owens’ holding by 66%, the largest purchase at Crown Holdings for several years. This, as well as the size of the increase, is bullish.