Fortnox Insiders Hint at a Bullish Outlook With Cluster Buying

Fortnox AB (FNOX:SS) is a Swedish business platform that primarily serves small and medium-sized enterprises (SMEs), accounting firms, and organizations. Their main goal is to support the growth and development of businesses by offering a wide range of smart technical products, solutions, and services. 

Fortnox has a current Market Capitalization of 35.24 billion SEK while FNOX stock closed at 54.56 SEK in its last trading session on August 16, 2024.

Cluster Buying Throughout August

In terms of stock performance, Fortnox has been seeing a moderate year so far. But on the other hand, insiders at the application-providing company have been stocking up on FNOX shares throughout 2024.

Most recently, six insiders raised their holdings in the company’s stock from August 13 to 14:

• Karl Olof Hallrup - Chairman at Fortnox - bought 736,923 shares in two transactions. Shares were purchased at a rate of 55 SEK in both trades. 

• Charlotta Lundberg - in Fortnox’s Business Development - bought 1,750 shares at 55.55 SEK.

• Michael Lyngsaa Hansen - in Fortnox’s Business Development - bought 7,500 shares at 57.173 SEK.

• Johan Lundgren - COO - bought 4,000 shares at 57 SEK.

• Hakan Rosen - Chief Level Officer - bought 5,000 shares at 56.185 SEK.

• Bjorn Jesper Svensson - CTO - bought 2,000 shares at 56.84 SEK.

In total, all six insiders purchased 41,679,380 SEK ($3,989,572) worth of FNOX shares.

Interim Report for January - June 2024

Fortnox disclosed its interim report for the second quarter on July 12. This also included a detailed coverage of how the company fared during the H1 2024 period (January to June). 

In Q2 2024, Fortnox achieved 515 million SEK in net sales marking a 27% rise compared to 404 million SEK in Q2 2023. 7 million SEK in this rise came from acquisitions, with the remaining 25% resulting from organic growth. 

Most notably, Fortnox completed its purchase of 100% shares of Boardeaser and VisualBy in March 2024. Both are SaaS companies that create solutions for reporting, group reporting and consolidated accounts, board management, and corporate governance.

Judging by the accounts above, Fortnox stock still has a long way to go on the price charts. According to investing.com, FNOX received a ‘Buy’ rating based on a poll of nine analysts who also gave the stock a 12-month price target of around 73.00 SEK.