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If you’re not aware of this tool, you’re in for a treat. Stay with us till the end of this article, because, we’re going to show you a great example of how this tool can give you early signs into the movement of a stock.
We’ll first explain to you bit by bit what you can see in this tool. (Note: This will also serve as an important base for our next article – Bulk and Block deals)
This is the default view.
As you can see there are a whole lot of graphs out there. But don’t get confused, we’ll walk you through each section to help you unlock the potential of this tool.
Starting with the date range. Here you set the range within which you want to check the insider trading activity.
Nex,t we have the type of transaction. Here we offer various options like market purchase/sale, Bonus, buyback, right issues, and more. You can scroll down to check the entire list.
Next, we have the type of security.
As you can see you can select between equity shares and warrants. convertible/non-convertible debentures and so on. [Note: you can also select multiple options from any of the lists.]
Next, you choose the acquirer category you wish to look into.
As you can see from the image, many key personnel fall under this category. Even the relatives.
Why this is important? The assumption is that key personnel are the ones who know the most about the business. And if they (or their close relatives) are buying/ selling shares in the market, especially in large quantities, it’s taken as a big early signal.
We have a lot of different options in this list and they are all fairly easy to understand so we won’t go into too much detail here.
The final thing left to choose is the index. You can choose from the list and once you’re done the results will load automatically. Let’s explore each section of that now.
In the green box, you’ll see the total buying and selling for each month. This gives you a quick idea of what’s happening. You also have the option to look at just ‘market purchase’ or just ‘market sale’. In that case, remember one of the values will show as zero. Eg: If you want to see market purchases only, then the total sell value will be zero.
In the red box, you can see the sector-wise distribution of buying and selling (Note: Can you see the ‘ignore smaller values’ marked with the red arrow? Switching this on if you want to look into smallest purchases/sale.)
In the yellow box, Industry group, industry, and company-wise distribution of buying/selling. This gives you a more granular look at things.
If you scroll below that, you’ll be able to see a complete list of stocks. And their details.
In the red box here you have the company name and in the yellow box, you can see details like acquirer name, transaction type (acquisition/sale), category, the date that transaction took place, the total value of the transaction, and so on.
That's it, let's now move on to our next tool, Bulk and Block Deals.