Yahoo Finance Independent Director Manuel Gomez Just Bought Shares In Candelaria Mining Corp. (CVE:CAND)
Potential Candelaria Mining Corp. (CVE:CAND) shareholders may wish to note that the Independent Director, Manuel Gomez, recently bought CA$285k worth of stock, paying CA$0.25 for each share. That's a very decent purchase to our minds and it grew their holding by a solid 12%.
Check out our latest analysis for Candelaria Mining
Candelaria Mining Insider Transactions Over The Last Year
Notably, that recent purchase by Manuel Gomez is the biggest insider purchase of Candelaria Mining shares that we've seen in the last year. So it's clear an insider wanted to buy, even at a higher price than the current share price (being CA$0.11). It's very possible they regret the purchase, but it's more likely they are bullish about the company. To us, it's very important to consider the price insiders pay for shares is very important. 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. Notably Manuel Gomez was also the biggest seller.
Happily, we note that in the last year insiders paid CA$357k for 1.51m shares. But insiders sold 250000 shares worth CA$63k. In total, Candelaria Mining insiders bought more than they sold over the last year. You can see the insider transactions (by individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
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.
Does Candelaria Mining Boast High Insider Ownership?
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Candelaria Mining insiders own 28% of the company, worth about CA$3.6m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Does This Data Suggest About Candelaria Mining Insiders?
The recent insider purchases are heartening. And an analysis of the transactions over the last year also gives us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Insiders likely see value in Candelaria Mining shares, given these transactions (along with notable insider ownership of the company). So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. For instance, we've identified 5 warning signs for Candelaria Mining (4 are significant) you should be aware of.
Of course Candelaria Mining 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.
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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