Yahoo Finance Did Palamina Corp. (CVE:PA) Insiders Buy Up More Shares?
Want to participate in a short research study? Help shape the future of investing tools and you could win a $250 gift card!
We often see insiders buying up shares in companies that perform well over the long term. Unfortunately, there are also plenty of examples of share prices declining precipitously after insiders have sold shares. So shareholders might well want to know whether insiders have been buying or selling shares in Palamina Corp. (CVE:PA).
What Is Insider Buying?
It is perfectly legal for company insiders, including board members, to buy and sell stock in a company. However, rules govern insider transactions, and certain disclosures are required.
We don't think shareholders should simply follow insider transactions. But equally, we would consider it foolish to ignore insider transactions altogether. For example, a Columbia University study found that 'insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers'.
View our latest analysis for Palamina
The Last 12 Months Of Insider Transactions At Palamina
While there weren't any large insider transactions in the last twelve months, it's still worth looking at the trading.
Happily, we note that in the last year insiders paid CA$163k for 585k shares. But insiders sold 208k shares worth CA$64k. In the last twelve months there was more buying than selling by Palamina insiders. They paid about CA$0.28 on average. This is nice to see since it implies that insiders might see value around current prices (around CA$0.27). You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
Palamina is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Have Palamina Insiders Traded Recently?
We saw some Palamina insider buying shares in the last three months. Andrew Thomson bought CA$13k worth of shares in that time. However, Director Hugh Agro netted CA$240 for sales. While it's good to see the insider buying, the net amount bought isn't enough for us to gain much confidence from it.
Does Palamina Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. From our data, it seems that Palamina insiders own 12% of the company, worth about CA$1.2m. Whilst better than nothing, we're not overly impressed by these holdings.
So What Does This Data Suggest About Palamina Insiders?
Our data shows a little insider buying, but no selling, in the last three months. The net investment is not enough to encourage us much. However, our analysis of transactions over the last year is heartening. The transactions are fine but it'd be more encouraging if Palamina insiders bought more shares in the company. 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 .
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
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. Thank you for reading.
