It's an interesting exercise to review which ASX shares are being purchased by their own directors, board members and other inside staff. Those that are managing the company should theoretically have the most information available to inform their investment.
While ASX-listed companies must disclose any price-sensitive information to the market, one edge that insiders have is that they're exposed to the company's daily operations. This means that, unless you're an employee of the company as well, you probably won't have the same level of operational understanding.
For that reason, let's take a glimpse into some insiders who have been buying up ASX shares in their own companies recently.
ASX shares with insider buying interest
In the pursuit of presenting the most current and relevant information, the following ASX share purchases occurred no later than 25 May 2021. As you'll see from the list below, there's quite a diverse assortment of companies that have been attracting insider buying.
| Company | Market Capitalisation | Value of shares purchased | Date of purchase |
|---|---|---|---|
| Northern Star Resources Ltd (ASX: NST) | $12.81 billion | $24,973 | 25 May 2021 |
| AMP Ltd (ASX: AMP) | $4.14 billion | $100,000 | 01 June 2021 |
| Whitehaven Coal Ltd (ASX: WHC) | $2.10 billion | $589,750 | 04 June 2021 |
| Centuria Capital Group (ASX: CNI) | $1.64 billion | $3,367,456 | 25 May 2021 |
| Sandfire Resources Ltd (ASX: SFR) | $1.30 billion | $24,942 | 25 May 2021 |
| Jumbo Interactive Ltd (ASX: JIN) | $920.8 million | $35,025 | 26 May 2021 |
Riding the resource boom
The largest ASX-listed company on the list, Northern Star Resources, has been benefitting from a resurgence in the price of gold since early April. The precious commodity has appreciated by around 12% in the last couple of months. Northern Star's performance is closely linked to that of gold, demonstrated by its approximate 16% share price lift since the start of April. Board member Sally Langer added $24,973 worth of shares on 25 May.
The second-largest insider buy on the list involves Whitehaven Coal director Raymond Zage. Sparing no expense, Zage dished out over half a million dollars for 350,000 shares. The ASX-listed coal mining share has set new 52-highs recently, as coal prices gallop higher on increased demand and tight supply.
Sandfire Resources is another resource company enjoying the resource boom. With Copper prices recently hitting all-time highs, the Sandfire share price has enjoyed a 52% rally over the last year. However, it appears Sally Langer is happy to buy at current prices – adding $24,982 worth of shares on 25 May.
Other ASX shares getting attention
Next on the list is financial services company AMP. Interestingly, chair Debra Hazelton picked up $100,000 worth of AMP shares 5 days after the company was hit with civil proceedings brought by ASIC in the Federal Court. Today, the company announced a new CEO of the AMP Capital division.
By far the biggest insider buy on our list, CEO of Centuria Capital Jason Huljich grabbed over $3 million worth of shares in the real estate company. Today the company announced its takeover of Primewest Group Ltd (ASX: PWG) has gone unconditional.
Lastly, Jumbo Interactive chair Susan Forrester added $35,025 to her holdings. According to a note out of Goldman Sachs, its analysts have downgraded the online lottery company's shares to a neutral rating from buy. The broker has, however, held firm with its $15.00 price target. Jumbo is the smallest ASX share on the list by market capitalisation, at $920 million.
