Great news for Veeco Instruments Inc. (NASDAQ:VECO): Insiders acquired stock in large numbers last year

Usually, when one insider buys stock, it might not be a monumental event. But when multiple insiders are buying like they did in the case of Veeco Instruments Inc. (NASDAQ:VECO), that sends out a positive message to the company's shareholders.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Veeco Instruments

The Last 12 Months Of Insider Transactions At Veeco Instruments

In the last twelve months, the biggest single purchase by an insider was when Senior VP & CFO John Kiernan bought US$104k worth of shares at a price of US$20.79 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$20.34). Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.

Veeco Instruments insiders may have bought shares in the last year, but they didn't sell any. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

Veeco Instruments is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insider Ownership Of Veeco Instruments

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Veeco Instruments insiders own about US$26m worth of shares. That equates to 2.5% of the company. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About Veeco Instruments Insiders?

It doesn't really mean much that no insider has traded Veeco Instruments shares in the last quarter. However, our analysis of transactions over the last year is heartening. Insiders own shares in Veeco Instruments and we see no evidence to suggest they are worried about the future. Of course, the future is what matters most. So if you are interested in Veeco Instruments, you should check out this free report on analyst forecasts for the company.

Of course Veeco Instruments may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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