Claudius Watts Is The Chairman of the Board of CommScope Holding Company, Inc. (NASDAQ:COMM) And They Just Picked Up 3.8% More Shares

Potential CommScope Holding Company, Inc. (NASDAQ:COMM) shareholders may wish to note that the Chairman of the Board, Claudius Watts, recently bought US$145k worth of stock, paying US$9.66 for each share. Although the purchase only increased their holding by 3.8%, it is still a solid purchase in our view.

View our latest analysis for CommScope Holding Company

CommScope Holding Company Insider Transactions Over The Last Year

In fact, the recent purchase by Chairman of the Board Claudius Watts was not their only acquisition of CommScope Holding Company shares this year. They previously made an even bigger purchase of US$636k worth of shares at a price of US$9.96 per share. That means that an insider was happy to buy shares at around the current price of US$10.73. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. 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. Happily, the CommScope Holding Company insiders decided to buy shares at close to current prices.

In the last twelve months CommScope Holding Company insiders were buying shares, but not selling. The average buy price was around US$8.46. To my mind it is good that insiders have invested their own money in the company. However, you should keep in mind that they bought when the share price was meaningfully below today's levels. 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 always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

Does CommScope Holding Company Boast High Insider Ownership?

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. CommScope Holding Company insiders own about US$57m worth of shares. That equates to 2.5% of the company. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

What Might The Insider Transactions At CommScope Holding Company Tell Us?

It's certainly positive to see the recent insider purchases. We also take confidence from the longer term picture of insider transactions. But on the other hand, the company made a loss during the last year, which makes us a little cautious. When combined with notable insider ownership, these factors suggest CommScope Holding Company insiders are well aligned, and that they may think the share price is too low. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for CommScope Holding Company.

Of course CommScope Holding Company may not be the best stock to buy. So you may wish to see this free collection of high quality 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, but not derivative transactions.

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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.

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