Yahoo Finance This Insider Has Just Sold Shares In Agnico Eagle Mines Limited (NYSE:AEM)
Anyone interested in Agnico Eagle Mines Limited (NYSE:AEM) should probably be aware that the Senior Vice-President of Corporate Development, Donald Allan, recently divested US$101k worth of shares in the company, at an average price of US$58.15 each. However, the silver lining is that the sale only reduced their total holding by 6.1%, so we're hesitant to read anything much into it, on its own.
See our latest analysis for Agnico Eagle Mines
Agnico Eagle Mines Insider Transactions Over The Last Year
Notably, that recent sale by Senior Vice-President of Corporate Development Donald Allan was not the only time they sold Agnico Eagle Mines shares this year. Earlier in the year, they fetched US$53.79 per share in a -US$1.1m sale. So it's clear an insider wanted to take some cash off the table, even below the current price of US$61.47. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. We note that the biggest single sale was only 38%of Donald Allan's holding.
In the last twelve months insiders netted US$7.6m for 152469 shares sold. Insiders in Agnico Eagle Mines didn't buy any shares in the last year. The chart below shows insider transactions (by individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
I will like Agnico Eagle Mines better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.
Insider Ownership of Agnico Eagle Mines
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 0.2% of Agnico Eagle Mines shares, worth about US$37m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
What Might The Insider Transactions At Agnico Eagle Mines Tell Us?
Insiders haven't bought Agnico Eagle Mines stock in the last three months, but there was some selling. Looking to the last twelve months, our data doesn't show any insider buying. Insiders own shares, but we're still pretty cautious, given the history of sales. We'd think twice before buying! Of course, the future is what matters most. So if you are interested in Agnico Eagle Mines, you should check out this free report on analyst forecasts for the company.
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.
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.
