Every so often I like to look at which shares have experienced meaningful insider buying.
This is because insider buying is often regarded as a bullish indicator, as few people know a company and its intrinsic value better than its own directors.
A number of shares have reported meaningful insider buying this week. Here are a few that caught my eye:
BlackWall Property Trust (ASX: BWR)
According to a change of director's interest notice, the non-executive chairman of this property trust has been buying a large number of shares on-market this month. Seph Glew picked up 1,210,410 shares between September 4 and September 10 for a total consideration of $1,549,105. He then bought a further 121,816 shares on-market for a total consideration of $158,505 between September 12 and September 16. The chairman appears to believe that BlackWall's shares have fallen into the bargain bin after hitting a 52-week low recently.
Lovisa Holdings Ltd (ASX: LOV)
This jewellery retailer's shares may have doubled in value in 2019, but that didn't stop one of its non-executive directors from making a sizeable purchase of shares this month. According to a change of director's interest notice, John Armstrong bought 7,990 shares through an on-market trade on September 11 for a total consideration of $100,316.71. This works out to be an average of $12.56 per share. Earlier this week the Lovisa share price hit an all-time high of $13.16. Investors appear excited by the company's prospects in the massive US market.
Webjet Limited (ASX: WEB)
According to a change of director's interest notice, one of this online travel agent's independent non-executive directors has taken advantage of its share price decline to top up his holding. The notice reveals that Brad Holman bought 8,000 shares through an on-market trade on September 13 for a total consideration of $97,440. This increased his holding to a total of 63,120 shares. The Webjet share price has come under pressure this year amid concerns that Google could be stealing market share away from it.
