When a single insider purchases stock, it is typically not a major deal. However, when multiple insiders purchase stock, like in PCI-PAL PLC's (LON:PCIP) instance, it's good news for shareholders.

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 PCI-PAL

PCI-PAL Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when insider Thomas Good bought UK￡140k worth of shares at a price of UK￡0.56 per share. That means that an insider was happy to buy shares at above the current price of UK￡0.54. Their view may have changed since then, but at least it shows they felt optimistic at the time. We always take careful note of the price insiders pay when purchasing shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.

In the last twelve months PCI-PAL insiders were buying shares, but not selling. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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

Insider Ownership

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. We usually like to see fairly high levels of insider ownership. From looking at our data, insiders own UK￡1.7m worth of PCI-PAL stock, about 4.4% of the company. We consider this fairly low insider ownership.

So What Does This Data Suggest About PCI-PAL Insiders?

It doesn't really mean much that no insider has traded PCI-PAL shares in the last quarter. However, our analysis of transactions over the last year is heartening. We'd like to see bigger individual holdings. However, we don't see anything to make us think PCI-PAL insiders are doubting the company. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 5 warning signs for PCI-PAL (of which 1 is potentially serious!) you should know about.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.