Despite the recent drop in Touchwood Entertainment Limited’s share price, insiders made a profit of around Rs 121,000 after buying earlier this year.

insiders who bought Dutchwood Entertainment Ltd (NSE: Touch Wood) may not pay attention to the stock’s recent 17% decline over the past 12 months. After taking into account recent losses, the shares they bought worth Rs 1.1 lakh are now worth Rs 2.31 lakh, suggesting a good return on their investment.

While we would never suggest that investors should base their decisions solely on the actions of company directors, we believe it would be foolish to ignore insider trading entirely.

Check out our latest analysis for Touchwood Entertainment

Touchwood Entertainment’s Insider Trading Over the Last 12 Months

While no particular insider trade stands out, we can still take a look at overall trades.

The chart below shows insider trading by company and individual over the last year. By clicking on the image below, you can see the exact details of each insider transaction!

There are plenty of other companies that have insiders buying stock.you may no want to miss this free A list of growth companies that insiders are buying.

insider ownership

I like to see how much stake insiders own in a company to help understand how aligned they are with insiders. I think it’s a good sign if insiders own a lot of company shares. Touchwood Entertainment insiders hold a stake worth around Rs 1.3b (82% stake in the company). I like to see this level of insider ownership because it increases the chances that management has the best interests of shareholders in mind.

What might Touchwood Entertainment’s insider trading tell us?

In fact, the recent absence of Touchwood Entertainment’s insider trading certainly doesn’t bother us. But over the past year, insiders have shown greater interest in the stock. With high insider ownership and encouraging deals, Touchwood Entertainment insiders seem to think the business is valuable. While we like to understand insider ownership and trading, we must also consider the risks to a stock before making any investment decisions.During our analysis we found that Touchwood Entertainment has 4 warning signs It would be unwise to ignore these.

But please note: Touchwood Entertainment Might Not Be the Best Stock. so look at this free List of interesting companies with high return on equity and low debt.

For the purposes of this article, an insider is an individual who reports their transactions to the relevant regulator. We currently consider open market transactions and private dispositions, but not derivatives transactions.

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This article by Simply Wall St is general in nature. We use only an unbiased methodology to provide reviews based on historical data and analyst forecasts, 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 into account your objectives or your financial situation. Our goal is to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not take into account the latest price-sensitive company announcements or qualitative material. Simply Wall St has no positions in any of the stocks mentioned.