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Insiders of National Vision Holdings, Inc. (NASDAQ:EYE) Are Probably Glad They Bought Last Year as Their US$3.0m Investment Now Stands at US$4.0m

Simply Wall St ·  Aug 30, 2022 08:55

Insiders who bought National Vision Holdings, Inc. (NASDAQ:EYE) in the last 12 months may probably not pay attention to the stock's recent 3.5% drop. Even after accounting for the recent loss, the US$3.0m worth of stock purchased by them is now worth US$4.0m or in other words, their investment continues to give good returns.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

View our latest analysis for National Vision Holdings

National Vision Holdings Insider Transactions Over The Last Year

The Independent Chairman David Peeler made the biggest insider purchase in the last 12 months. That single transaction was for US$2.0m worth of shares at a price of US$24.69 each. We do like to see buying, but this purchase was made at well below the current price of US$32.96. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

National Vision Holdings insiders may have bought shares in the last year, but they didn't sell any. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

insider-trading-volumeNasdaqGS:EYE Insider Trading Volume August 30th 2022

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).

Insider Ownership Of National Vision Holdings

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. It appears that National Vision Holdings insiders own 1.5% of the company, worth about US$39m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About National Vision Holdings Insiders?

It doesn't really mean much that no insider has traded National Vision Holdings shares in the last quarter. On a brighter note, the transactions over the last year are encouraging. Insiders own shares in National Vision Holdings and we see no evidence to suggest they are worried about the future. While we like knowing 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. You'd be interested to know, that we found 1 warning sign for National Vision Holdings and we suggest you have a look.

But note: National Vision Holdings may not be the best stock to buy. So take a peek at this free list 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, 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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