Yahoo Finance Director Jonathan Lansky Just Bought Shares In Legend Power Systems Inc. (CVE:LPS)
Potential Legend Power Systems Inc. (CVE:LPS) shareholders may wish to note that the Director, Jonathan Lansky, recently bought CA$185k worth of stock, paying CA$0.35 for each share. While that's a very decent purchase to our minds, it was proportionally a bit modest, boosting their holding by just 7.4%.
Check out our latest analysis for Legend Power Systems
Legend Power Systems Insider Transactions Over The Last Year
Notably, that recent purchase by Jonathan Lansky is the biggest insider purchase of Legend Power Systems shares that we've seen in the last year. That means that an insider was happy to buy shares at above the current price of CA$0.34. It's very possible they regret the purchase, but it's more likely they are bullish about the company. In our view, the price an insider pays for shares is very important. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.
In the last twelve months Legend Power Systems insiders were buying shares, but not selling. The average buy price was around CA$0.31. These transactions show that insiders have confidence to invest their own money in the stock, albeit at slightly below the recent price. You can see the insider transactions (by individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Legend Power Systems is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Does Legend Power Systems Boast High 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. I reckon it's a good sign if insiders own a significant number of shares in the company. Our data indicates that Legend Power Systems insiders own about CA$4.7m worth of shares (which is 14% of the company). Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!
So What Do The Legend Power Systems Insider Transactions Indicate?
It's certainly positive to see the recent insider purchases. We also take confidence from the longer term picture of insider transactions. But we don't feel the same about the fact the company is making losses. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that Legend Power Systems insiders are reasonably well aligned, and optimistic for the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Legend Power Systems. Case in point: We've spotted 6 warning signs for Legend Power Systems you should be aware of, and 2 of them are concerning.
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 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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