Last month, we shared some insiders who had increased their holdings by significant percentages.
Dollar Tree Inc, Dassault Systemes SA, and Signet Jewelers Ltd were featured in the June 2021 report.
We feature companies from the United Kingdom and Sweden in this month’s edition.
Why Should You Track Insider Holding Percentages?
Investors can gain extra insight into an insider's investment choice by examining their behaviour.
Consider two insiders who each spent $400,000 on company stock, but one raised their holdings by 30%, while the other boosted their holdings by 80%.
The more bullish signal would be the 80% increase.
The following three cases represent sizable increases in insider holdings, which best illustrate bullish insider trading.
Jupiter Fund Management PLC (JUP:LN)
An Independent Director at UK-based company Jupiter Fund Management, Roger Yates, bought 200,000 JUP shares at $2.66 per share. The insider spent just over $500,000 on his purchase.
Yates’ holdings rose by almost 900%, which is a huge increase. He has worked for firms including Invesco and Henderson Group PLC for more than 30 years, mostly in senior positions, suggesting his decisions are well-informed by his wealth of experience.
The insider buying report on Roger Yates’ purchase provides further detail.
Berkeley Group Holdings PLC (BKG:LN)
Keeping things UK focused, Berkeley Group is a property developer in the UK. 2iQ’s data shows large insider trading activity here recently.
William Jackson, a Non-Executive Director at Berkeley Group purchased 14,000 BKG shares at £47.12 per share. The purchase cost Jackson around £660,000. This skyrocketed his holdings by 1,300%.
We feel this buy is significant for a couple of key reasons:
Firstly, this massive increase in holdings by Jackson is certainly a bullish signal for Berkeley Group’s prospects. Secondly, he has a very strong investment background in senior roles at private equity firm Bridgepoint, suggesting he is highly adept at valuing companies.
Bergman & Beving Aktiebolag (BERGB:SS)
Finally, we have Swedish supplier Bergman & Beving. The company’s products supply the industrial and construction sectors in the Nordic region.
CEO and President of Bergman & Beving Magnus Soderlind purchased 100,000 BERGB shares at a price of SEK 155.70 per share. This purchase cost the insider SEK 15.6 million (approximately $1.8 million).
The purchase increased Soderlind’s holdings by 100%. Doubling his holdings suggests this insider is extremely confident about the stock rising in the future.
To find out more about this activity at Bergman & Beving, read our insider buying report.
Watch the Holdings
Despite these insiders spending varying sums of money on stock, the common factor is the significant percentage increase in their holdings which is a bullish signal.
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