Independent Director of Starz Entertainment Picks Up 63% More Stock

Potential Starz Entertainment Corp. (NASDAQ:STRZ) shareholders may wish to note that the Independent Director, Harry Sloan, recently bought US$202k worth of stock, paying US$12.78 for each share. We reckon that’s a good sign, especially since the purchase boosted their holding by 63%.

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The Last 12 Months Of Insider Transactions At Starz Entertainment

In fact, the recent purchase by Harry Sloan was the biggest purchase of Starz Entertainment shares made by an insider individual in the last twelve months, according to our records. That implies that an insider found the current price of US$13.56 per share to be enticing. That means they have been optimistic about the company in the past, though they may have changed their mind. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today’s share price, as the discount to value may have narrowed with the rising price. In this case we’re pleased to report that the insider purchases were made at close to current prices.

While Starz Entertainment insiders bought shares during the last year, they didn’t sell. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

Check out our latest analysis for Starz Entertainment

There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).

Does Starz Entertainment Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it’s a good sign if insiders own a significant number of shares in the company. Insiders own 3.2% of Starz Entertainment shares, worth about US$7.3m, according to our data. Overall, this level of ownership isn’t that impressive, but it’s certainly better than nothing!

So What Does This Data Suggest About Starz Entertainment Insiders?

It is good to see recent purchasing. We also take confidence from the longer term picture of insider transactions. 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 Starz Entertainment 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. In terms of investment risks, we’ve identified 2 warning signs with Starz Entertainment and understanding them should be part of your investment process.

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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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.