Insiders were net buyers of Eureka Group Holdings Limited's (ASX:EGH ) stock during the past year. That is, insiders bought more stock than they sold.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.

See our latest analysis for Eureka Group Holdings

The Last 12 Months Of Insider Transactions At Eureka Group Holdings

Over the last year, we can see that the biggest insider purchase was by Executive Chairman Murray Boyte for AU$97k worth of shares, at about AU$0.39 per share. We do like to see buying, but this purchase was made at well below the current price of AU$0.62. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Murray Boyte bought a total of 450.00k shares over the year at an average price of AU$0.46. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Eureka Group Holdings is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insider Ownership of Eureka Group Holdings

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. Based on our data, Eureka Group Holdings insiders have about 1.9% of the stock, worth approximately AU$2.8m. But they may have an indirect interest through a corporate structure that we haven't picked up on. We consider this fairly low insider ownership.

So What Does This Data Suggest About Eureka Group Holdings Insiders?

The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Eureka Group Holdings insiders are expecting a bright future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Eureka Group Holdings. At Simply Wall St, we've found that Eureka Group Holdings has 3 warning signs (1 is potentially serious!) that deserve your attention before going any further with your analysis.

But note: Eureka Group Holdings may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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, but not derivative transactions.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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