Once a week I like to look at which ASX shares have been experiencing insider buying and selling.
This is because in theory nobody should know a company and its prospects better than its directors.
So when insiders are shown to be buying shares it is often regarded as a bullish indicator and vice versa when they are seen to be selling shares.
Three shares which have been experiencing meaningful insider buying this month are listed below. Here's what you need to know:
Aurizon Holdings Ltd (ASX: AZJ)
Independent non-executive director Marcelo Bastos has been in the market buying shares this month. Mr Bastos purchased his first shares since joining the company late last year when he picked up 11,400 through an on-market trade at a price of $4.38 per share. Prior to joining the company the highly experienced executive had been the chief operating officer of MMG Limited with responsibility for the business in four continents.
Beach Energy Ltd (ASX: BPT)
A change of director's interest notice reveals that independent non-executive director Jocelyn Morton has bought 50,000 Beach shares at an average price of $1.245 each. Ms Morton joined the board last month and was also appointed chair of the audit committee. It would appear that Ms Morton has been impressed with what she has seen since joining the company.
Harvey Norman Holdings Limited (ASX: HVN)
According to a change of director's interest notice, Gerry Harvey has picked up 1 million shares for almost $3.8 million through on-market trades this week. It looks as though Mr Harvey has seen the retailer's post-earnings share price weakness as a buying opportunity to top up his considerable holding. With its shares trading at 10x trailing earnings and hovering just above their 52-week low, he might be on the money with this one.
