Gary Weiss Spends AU$93k On Coast Entertainment Holdings Stock

Even if it’s not a huge purchase, we think it was good to see that Gary Weiss, the Non-Executive Chairman of Coast Entertainment Holdings Limited (ASX:CEH) recently shelled out AU$93k to buy stock, at AU$0.46 per share. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.

See our latest analysis for Coast Entertainment Holdings

In fact, the recent purchase by Gary Weiss was the biggest purchase of Coast Entertainment Holdings shares made by an insider individual in the last twelve months, according to our records. That means that even when the share price was higher than AU$0.45 (the recent price), an insider wanted to purchase shares. 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. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

While Coast Entertainment Holdings insiders bought shares during the last year, they didn’t sell. 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!

Coast Entertainment Holdings is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Our data indicates that Coast Entertainment Holdings insiders own about AU$11m worth of shares (which is 5.8% of the company). Overall, this level of ownership isn’t that impressive, but it’s certainly better than nothing!

It is good to see recent purchasing. 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. Insiders likely see value in Coast Entertainment Holdings shares, given these transactions (along with notable insider ownership of the company). Of course, the future is what matters most. So if you are interested in Coast Entertainment Holdings, you should check out this free report on analyst forecasts for the company.

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