Yahoo Finance The Independent Chairman of the Board of Trican Well Service Ltd. (TSE:TCW), Thomas Alford, Just Bought 100% More Shares
Whilst it may not be a huge deal, we thought it was good to see that the Trican Well Service Ltd. (TSE:TCW) Independent Chairman of the Board, Thomas Alford, recently bought CA$59k worth of stock, for CA$2.95 per share. Even though that isn't a massive buy, it did increase their holding by 100%, which is arguably a good sign.
View our latest analysis for Trican Well Service
The Last 12 Months Of Insider Transactions At Trican Well Service
Notably, that recent purchase by Thomas Alford is the biggest insider purchase of Trican Well Service shares that we've seen in the last year. That means that even when the share price was higher than CA$2.81 (the recent price), an insider wanted to purchase shares. 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. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.
Happily, we note that in the last year insiders paid CA$197k for 78.00k shares. On the other hand they divested 24.00k shares, for CA$53k. In total, Trican Well Service insiders bought more than they sold over the last year. The average buy price was around CA$2.52. We don't deny that it is nice to see insiders buying stock in the company. But we must note that the investments were made at well below today's share price of CA$2.81. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
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 of Trican Well Service
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. From our data, it seems that Trican Well Service insiders own 1.2% of the company, worth about CA$8.5m. But they may have an indirect interest through a corporate structure that we haven't picked up on. Whilst better than nothing, we're not overly impressed by these holdings.
So What Does This Data Suggest About Trican Well Service Insiders?
It's certainly positive to see the recent insider purchases. And an analysis of the transactions over the last year also gives us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that Trican Well Service insiders are reasonably well aligned, and optimistic for the future. 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. Case in point: We've spotted 1 warning sign for Trican Well Service you should be aware of.
Of course Trican Well Service 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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.
