Those following along with Saputo Inc. (TSE:SAP) will no doubt be intrigued by the recent purchase of shares by insider Joey Saputo, who spent a stonking CA$34m on stock at an average price of CA$24.32. That increased their holding by a full 882%, which arguably implies the sort of confidence required for a shy sweet-natured nerd to ask the most popular kid in the school to go out on a date.

See our latest analysis for Saputo

The Last 12 Months Of Insider Transactions At Saputo

The insider, Francesco Saputo, made the biggest insider sale in the last 12 months. That single transaction was for CA$1.1b worth of shares at a price of CA$29.12 each. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is CA$24.33. So it may not tell us anything about how insiders feel about the current share price.

Over the last year, we can see that insiders have bought 27.96m shares worth CA$800m. On the other hand they divested 40.00m shares, for CA$1.1b. All up, insiders sold more shares in Saputo than they bought, over the last year. 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!TSX:SAP Insider Trading Volume February 17th 2025

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this freelist of companies. (Hint: Most of them are flying under the radar).

Insider Ownership Of Saputo

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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Saputo insiders own 39% of the company, currently worth about CA$4.0b based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Does This Data Suggest About Saputo Insiders?

The recent insider purchases are heartening. But we can't say the same for the transactions over the last 12 months. The high levels of insider ownership, and the recent buying by some insiders suggests they are well aligned and optimistic. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Saputo. To assist with this, we've discovered 2 warning signs that you should run your eye over to get a better picture of Saputo.

Story Continues

But note: Saputo may not be the best stock to buy. So take a peek at this freelist 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 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.

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