Potential JELD-WEN Holding, Inc. (NYSE:JELD) shareholders may wish to note that the Independent Chairman, David Nord, recently bought US$119k worth of stock, paying US$5.96 for each share. That's a very decent purchase to our minds and it grew their holding by a solid 40%.
View our latest analysis for JELD-WEN Holding
Notably, that recent purchase by David Nord is the biggest insider purchase of JELD-WEN Holding shares that we've seen in the last year. That means that even when the share price was higher than US$5.86 (the recent price), an insider wanted to purchase shares. It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. It is encouraging to see an insider paid above the current price for shares, as it suggests they saw value, even at higher levels. David Nord was the only individual insider to buy shares in the last twelve months.
The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Our data indicates that JELD-WEN Holding insiders own about US$5.3m worth of shares (which is 1.1% of the company). Whilst better than nothing, we're not overly impressed by these holdings.
The recent insider purchase is heartening. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that JELD-WEN Holding insiders are expecting a bright future. While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. For example - JELD-WEN Holding has 1 warning sign we think you should be aware of.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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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