Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying, like in the case of comScore, Inc. (NASDAQ:SCOR), it sends a favourable message to the company's shareholders.

While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

See our latest analysis for comScore

The Last 12 Months Of Insider Transactions At comScore

In the last twelve months, the biggest single purchase by an insider was when Independent Director Matthew McLaughlin bought US$406k worth of shares at a price of US$16.23 per share. That means that an insider was happy to buy shares at above the current price of US$7.04. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. To us, it's very important to consider the price insiders pay for shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.

In the last twelve months comScore insiders were buying shares, but not selling. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

comScore is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Insider Ownership

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. From our data, it seems that comScore insiders own 11% of the company, worth about US$3.9m. However, it's possible that insiders might have an indirect interest through a more complex structure. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!

So What Do The comScore Insider Transactions Indicate?

It doesn't really mean much that no insider has traded comScore shares in the last quarter. On a brighter note, the transactions over the last year are encouraging. We'd like to see bigger individual holdings. However, we don't see anything to make us think comScore insiders are doubting the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing comScore. In terms of investment risks, we've identified 3 warning signs with comScore and understanding these should be part of your investment process.