Yahoo Finance Robert Kopple of Velocity Minerals Ltd. (CVE:VLC) Just Spent CA$69k On Shares
Whilst it may not be a huge deal, we thought it was good to see that Robert Kopple, who is a company insider, recently bought CA$69k worth of stock, for CA$0.46 per share. However, it only increased their shares held by 7.9%, and it wasn't a huge purchase by absolute value, either.
Check out our latest analysis for Velocity Minerals
Velocity Minerals Insider Transactions Over The Last Year
Notably, that recent purchase by insider Robert Kopple was not the only time they bought Velocity Minerals shares this year. They previously made an even bigger purchase of CA$180k worth of shares at a price of CA$0.18 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of CA$0.46. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
Robert Kopple bought a total of 1.46m shares over the year at an average price of CA$0.24. 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!
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 Velocity Minerals Boast High Insider Ownership?
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 15% of Velocity Minerals shares, worth about CA$8.0m, according to our data. However, it's possible that insiders might have an indirect interest through a more complex structure. We do generally prefer see higher levels of insider ownership.
So What Do The Velocity Minerals Insider Transactions Indicate?
It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. But we don't feel the same about the fact the company is making losses. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on Velocity Minerals stock. 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. To help with this, we've discovered 5 warning signs (2 don't sit too well with us!) that you ought to be aware of before buying any shares in Velocity Minerals.
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.
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. 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.
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