Barnes & Noble Education Insiders Cash In as Investment Surges to $2.65 Million: What This Means for Investors

Last week, insiders at Barnes & Noble Education, Inc. (NYSE:BNED) hit the jackpot. Their shares jumped by 12%, boosting the company’s market value by $37 million. This surge means the stocks they bought for $1.69 million are now worth $2.65 million, marking a 57% gain.

While it’s not wise to make investment choices solely based on insider activity, it’s helpful to see what they are doing. Tracking insider purchases can give valuable insights.

Who Made Insider Trades?

The biggest buy in the past year was by William Martin, the Chairman of the Board. He purchased shares worth $922,000 at $7.19 each. Even though the stock is now at $11.16, this indicates that he believes there’s value in buying when the price is lower.

Interestingly, while insiders have bought shares in the last year, they haven’t sold any. This could be a good sign about their confidence in the company’s future.

How Much Do Insiders Own?

Insider ownership can hint at how committed the executives are to the company’s success. At Barnes & Noble Education, insiders hold 6.2% of the shares, valued at about $21 million. While this isn’t extremely high, it shows some alignment with regular shareholders.

What Can We Learn?

There haven’t been any insider transactions in the last three months, but looking back over the past year shows some positive signs. Insiders have a stake in the company, which could indicate stability. However, it’s crucial to be aware of potential risks. We found three warning signs about Barnes & Noble Education that investors should consider before diving in.

Keep in mind that this company may not be the best investment choice at the moment. If you’re exploring your options, take a look at businesses with strong returns and low debt that may be more appealing.

Insiders are individuals who publicly report their stock transactions. For this overview, we focus only on direct transactions, not indirect ones or derivative interests.