Yahoo Finance Chief Operating Officer Douglas Reddy Just Bought 4.0% More Shares In Equinox Gold Corp. (TSE:EQX)
Whilst it may not be a huge deal, we thought it was good to see that the Equinox Gold Corp. (TSE:EQX) Chief Operating Officer, Douglas Reddy, recently bought CA$53k worth of stock, for CA$7.87 per share. However, it only increased their shares held by 4.0%, and it wasn't a huge purchase by absolute value, either.
See our latest analysis for Equinox Gold
Equinox Gold Insider Transactions Over The Last Year
Over the last year, we can see that the biggest insider purchase was by Independent Chairman of the Board Ross Beaty for CA$2.0m worth of shares, at about CA$7.81 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being CA$7.50). Their view may have changed since then, but at least it shows they felt optimistic at the time. We always take careful note of the price insiders pay when purchasing 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.
Happily, we note that in the last year insiders paid CA$4.7m for 621.25k shares. But they sold 110.94k shares for CA$956k. In the last twelve months there was more buying than selling by Equinox Gold insiders. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Insider Ownership
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Equinox Gold insiders own 8.3% of the company, currently worth about CA$190m based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
What Might The Insider Transactions At Equinox Gold Tell Us?
It is good to see recent purchasing. We also take confidence from the longer term picture of insider transactions. When combined with notable insider ownership, these factors suggest Equinox Gold insiders are well aligned, and quite possibly think the share price is too low. Nice! While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Our analysis shows 3 warning signs for Equinox Gold (2 don't sit too well with us!) and we strongly recommend you look at them before investing.
Of course Equinox Gold may not be the best stock to buy. So you may wish to see this free collection of high quality companies.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
