The level of stock ownership by a company’s executives and board members serves as a powerful metric for investors. When leadership holds a meaningful stake in their company, their personal financial interests become directly tied to those of other shareholders. This creates a natural incentive structure where executives are motivated to pursue strategies that create lasting value rather than chasing quarterly numbers or personal gains.
Company leaders who own substantial shares experience the same ups and downs as other investors – their wealth grows when the stock performs well and shrinks when it struggles. This shared experience typically results in more prudent decision-making around both company resources and long-term strategy.
Strong insider ownership can also reveal management’s bullish outlook on the company’s trajectory. When executives continue building their positions beyond their standard compensation shares, it often indicates they see the stock as undervalued or expect significant growth ahead. While insider selling might raise concerns, it requires context – leaders may need to diversify their portfolios or address personal financial needs. Studies have demonstrated that firms with substantial insider ownership, especially smaller companies where leadership decisions have greater impact, tend to deliver superior returns compared to peers over time.
Get the top scoring high insider ownership stocks every day using our 20+ proven quantitative models based on great investors like Warren Buffett and Peter Lynch. Visit Validea.com to access in-depth stock analysis and tools based on proven investment principles. Start a Free Trial!
Here are Validea’s top 10 high insider ownership stocks for February 2025.
| Ticker | Company Name | Price | Market Cap ($mil) | PE Ratio | Price/ Sales | Relative Strength | Price/ Book | Price/ Cash Flow | Dividend Yield | Insider Ownership |
|---|---|---|---|---|---|---|---|---|---|---|
| PLTK | PLAYTIKA HOLDING CORP | $7.39 | $2,754 | 12.7 | 1.1 | 56 | 8.8 | 7.3 | 4.1% | 85.9% |
| PPC | PILGRIMS PRIDE CORP | $51.50 | $12,212 | 12.4 | 0.7 | 91 | 2.9 | 8.6 | 0.0% | 82.6% |
| PNRG | PRIMEENERGY RESOURCES CORP | $202.70 | $348 | 8.7 | 1.7 | 93 | 1.7 | 3.1 | 0.0% | 71.4% |
| ATLC | ATLANTICUS HOLDINGS CORP | $57.86 | $853 | 13.0 | 1.6 | 89 | 1.9 | 10.0 | 0.0% | 67.8% |
| CMRE | COSTAMARE INC | $10.56 | $1,265 | 4.3 | 0.6 | 0.5 | 2.8 | 4.4% | 64.1% | |
| USLM | UNITED STATES LIME & MINERALS INC | $104.23 | $2,980 | 27.4 | 9.4 | 92 | 6.0 | 29.8 | 0.2% | 63.2% |
| TMUS | T-MOBILE US INC | $255.83 | $292,093 | 26.4 | 3.6 | 86 | 4.7 | 12.0 | 1.1% | 58.8% |
| IGIC | INTERNATIONAL GENERAL INSURANC HLDGS LTD | $25.39 | $1,151 | 8.4 | 2.2 | 92 | 1.8 | 1,226.0 | 0.4% | 50.9% |
| PLPC | PREFORMED LINE PRODUCTS CO | $141.23 | $692 | 21.3 | 1.2 | 62 | 1.6 | 12.8 | 0.6% | 50.4% |
| DAC | DANAOS CORP | $80.95 | $1,565 | 2.8 | 1.6 | 62 | 0.5 | 2.2 | 4.0% | 48.9% |
Further Research
