Over the last year, a good number of insiders have significantly increased their holdings in Orora Limited (ASX:ORA). This is encouraging because it indicates that insiders are more optimistic about the company's prospects.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

Check out our latest analysis for Orora

Orora Insider Transactions Over The Last Year

The CEO, MD & Director Brian Lowe made the biggest insider purchase in the last 12 months. That single transaction was for AU$776k worth of shares at a price of AU$2.70 each. That means that an insider was happy to buy shares at around the current price of AU$2.78. That means they have been optimistic about the company in the past, though they may have changed their mind. 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. The good news for Orora share holders is that insiders were buying at near the current price. Notably Brian Lowe was also the biggest seller.

Over the last year, we can see that insiders have bought 319.80k shares worth AU$862k. On the other hand they divested 95.00k shares, for AU$333k. In total, Orora insiders bought more than they sold over the last year. 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! insider-trading-volume

Orora is not the only stock that insiders are buying. For those who like to find winning investments this freelist of growing companies with recent insider purchasing, could be just the ticket.

Orora Insiders Bought Stock Recently

Over the last three months, we've seen a bit of insider buying at Orora. Independent Non-Executive Director Thomas Gorman bought AU$28k worth of shares in that time. It's good to see the insider buying, as well as the lack of recent sellers. But the amount invested in the last three months isn't enough for us too put much weight on it, as a single factor.



Insider Ownership Of Orora

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. A high insider ownership often makes company leadership more mindful of shareholder interests. From our data, it seems that Orora insiders own 0.3% of the company, worth about AU$9.6m. We do generally prefer see higher levels of insider ownership.

So What Do The Orora Insider Transactions Indicate?

We note a that there has been a bit of insider buying recently (but no selling). That said, the purchases were not large. However, our analysis of transactions over the last year is heartening. The transactions are fine but it'd be more encouraging if Orora insiders bought more shares in the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Orora. Case in point: We've spotted 3 warning signs for Orora you should be aware of.

But note: Orora 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.