This ASX 300 stock has plunged 25% in 2023, and one director is going thrift shopping

Ia it time to pounce on this beaten down ASX 300 stock like an insider just did?

The Temple & Webster Group Ltd (ASX: TPW) share price is heading in the right direction again on Thursday.

In morning trade, the ASX 300 stock is up 1.5% to $3.49.

Though, this is little consolation for longer term shareholders that have watched the Temple & Webster share price lose a quarter of its value in 2023.

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Why is this ASX 300 stock rising today?

Investors have been buying this ASX 300 stock on Thursday after it revealed that an insider has been buying shares.

According to a change of director's interest notice, the online furniture and homewares retailer's independent non-executive director, Belinda Rowe, has added to her position.

The release notes that Rowe picked up 8,600 shares through an on-market trade on 27 March.

The director paid a total of $30,000 for this parcel of shares, which equates to an average of $3.49 per share.

This more than tripled Rowe's holding to a total of 12,100 Temple & Webster shares.

Should you be buying?

Analysts at Goldman Sachs would approve of Rowe's purchase of shares.

Its analysts are very bullish on this ASX 300 stock and have a buy rating and $6.50 price target on its shares.

Based on the current Temple & Webster share price, this implies potential upside of 86% for investors over the next 12 months.

Goldman is positive on the company's outlook due to its structural growth opportunity. It explained:

The long term structural growth opportunity is unchanged: we forecast a 21% 10-yr EBITDA CAGR driven by consolidation of market share and growing online penetration. TPW is early in its maturity cycle which supports long term sustainable growth. Market share gains are driven by a favourable market structure (with a long tail of small, less well-capitalised competitors), growing online penetration, and TPW's sustainable competitive advantages (scale; dropship inventory; brand; tech capabilities).

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Temple & Webster Group. The Motley Fool Australia has recommended Temple & Webster Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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