Yahoo Finance Should You Take Comfort From Insider Transactions At Callinex Mines Inc. (CVE:CNX)?
It is not uncommon to see companies perform well in the years after insiders buy shares. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So shareholders might well want to know whether insiders have been buying or selling shares in Callinex Mines Inc. (CVE:CNX).
What Is Insider Buying?
It's quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, such insiders must disclose their trading activities, and not trade on inside information.
Insider transactions are not the most important thing when it comes to long-term investing. But logic dictates you should pay some attention to whether insiders are buying or selling shares. As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.
View our latest analysis for Callinex Mines
Callinex Mines Insider Transactions Over The Last Year
President Max Porterfield made the biggest insider purchase in the last 12 months. That single transaction was for CA$100k worth of shares at a price of CA$0.50 each. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of CA$1.05. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
Callinex Mines insiders may have bought shares in the last year, but they didn't sell any. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Callinex Mines is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Callinex Mines Insiders Bought Stock Recently
It's good to see that Callinex Mines insiders have made notable investments in the company's shares. Overall, two insiders shelled out CA$120k for shares in the company -- and none sold. This could be interpreted as suggesting a positive outlook.
Insider Ownership of Callinex Mines
Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Based on our data, Callinex Mines insiders have about 4.4% of the stock, worth approximately CA$491k. We consider this fairly low insider ownership.
So What Do The Callinex Mines Insider Transactions Indicate?
It is good to see recent purchasing. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Callinex Mines insiders are expecting a bright future. I like to dive deeper into how a company has performed in the past. You can access this interactive graph of past earnings, revenue and cash flow for free.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.
If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.
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