Potential Kennedy-Wilson Holdings, Inc. (NYSE:KW) shareholders may wish to note that the Independent Director, Stanley Zax, recently bought US$351k worth of stock, paying US$8.56 for each share. Although the purchase only increased their holding by 8.7%, it is still a solid purchase in our view.
Notably, that recent purchase by Stanley Zax is the biggest insider purchase of Kennedy-Wilson Holdings shares that we've seen in the last year. That implies that an insider found the current price of US$8.84 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. In this case we're pleased to report that the insider bought shares at close to current prices. Stanley Zax was the only individual insider to buy shares in the last twelve months.
You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
Check out our latest analysis for Kennedy-Wilson Holdings
Kennedy-Wilson Holdings is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Kennedy-Wilson Holdings insiders own 13% of the company, worth about US$161m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
The recent insider purchase is heartening. And the longer term insider transactions also give us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. When combined with notable insider ownership, these factors suggest Kennedy-Wilson Holdings insiders are well aligned, and quite possibly think the share price is too low. Looks promising! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 3 warning signs for Kennedy-Wilson Holdings you should know about.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions of direct interests only, but not derivative transactions or indirect interests.
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