Insiders purchases in Applied UV, Inc. (NASDAQ:AUVI) last year yet to pay off, remain down US$53k despite recent gains

Some of the losses seen by insiders who purchased US$92k worth of Applied UV, Inc. (NASDAQ:AUVI) shares over the past year were recovered after the stock increased by 10% over the past week. However, the purchase is proving to be a costly gamble, since losses made by insiders have totalled US$53k since the time of purchase.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

View our latest analysis for Applied UV

The Last 12 Months Of Insider Transactions At Applied UV

In the last twelve months, the biggest single purchase by an insider was when Founder Max Munn bought US$50k worth of shares at a price of US$5.01 per share. That means that an insider was happy to buy shares at above the current price of US$1.94. 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. To us, it's very important to consider the price insiders pay for shares. As a general rule, we feel more positive about a stock when an insider has bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price. Max Munn was the only individual insider to buy shares in the last twelve months.

Max Munn purchased 20.00k shares over the year. The average price per share was US$4.58. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

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insider-trading-volume

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

Does Applied UV 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. Applied UV insiders own 43% of the company, currently worth about US$11m based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

What Might The Insider Transactions At Applied UV Tell Us?

It doesn't really mean much that no insider has traded Applied UV shares in the last quarter. On a brighter note, the transactions over the last year are encouraging. Judging from their transactions, and high insider ownership, Applied UV insiders feel good about the company's future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. When we did our research, we found 5 warning signs for Applied UV (2 can't be ignored!) that we believe deserve your full attention.

Of course Applied UV 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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