James Paterson Is The CEO & Chairman of ValOre Metals Corp. (CVE:VO) And Just Spent CA$101k On Shares

Whilst it may not be a huge deal, we thought it was good to see that the ValOre Metals Corp. (CVE:VO) CEO & Chairman, James Paterson, recently bought CA$101k worth of stock, for CA$0.56 per share. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.

See our latest analysis for ValOre Metals

ValOre Metals Insider Transactions Over The Last Year

Notably, that recent purchase by CEO & Chairman James Paterson was not the only time they bought ValOre Metals shares this year. Earlier in the year, they paid CA$0.30 per share in a CA$3.3m purchase. We do like to see buying, but this purchase was made at well below the current price of CA$0.53. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Over the last year, we can see that insiders have bought 11.84m shares worth CA$3.6m. But insiders sold 5.30m shares worth CA$1.6m. Overall, ValOre Metals insiders were net buyers during the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

insider-trading-volume

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

Does ValOre Metals 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. We usually like to see fairly high levels of insider ownership. It appears that ValOre Metals insiders own 20% of the company, worth about CA$14m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Does This Data Suggest About ValOre Metals Insiders?

The recent insider purchase is heartening. And the longer term insider transactions also give 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 ValOre Metals shares, given these transactions (along with notable insider ownership of the company). In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing ValOre Metals. Our analysis shows 5 warning signs for ValOre Metals (3 are potentially serious!) and we strongly recommend you look at these before investing.

But note: ValOre Metals may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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.

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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.