Yahoo Finance Tourmaline Oil Insiders Placed Bullish Bets Worth CA$4.05m
Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying, like in the case of Tourmaline Oil Corp. (TSE:TOU), it sends a favourable message to the company's shareholders.
While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.
See our latest analysis for Tourmaline Oil
Tourmaline Oil Insider Transactions Over The Last Year
In the last twelve months, the biggest single sale by an insider was when the insider, William Kirker, sold CA$1.5m worth of shares at a price of CA$69.05 per share. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The silver lining is that this sell-down took place above the latest price (CA$62.05). So it is hard to draw any strong conclusion from it. William Kirker was the only individual insider to sell shares in the last twelve months.
Happily, we note that in the last year insiders paid CA$4.0m for 64.14k shares. But they sold 21.53k shares for CA$1.5m. In total, Tourmaline Oil insiders bought more than they sold over the last year. The average buy price was around CA$63.12. These transactions suggest that insiders have considered the current price attractive. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).
Tourmaline Oil Insiders Bought Stock Recently
Over the last quarter, Tourmaline Oil insiders have spent a meaningful amount on shares. We can see that Chairman of the Board Michael Rose paid CA$1.1m for shares in the company. No-one sold. This could be interpreted as suggesting a positive outlook.
Insider Ownership
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Tourmaline Oil insiders own about CA$1.2b worth of shares (which is 5.3% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Do The Tourmaline Oil Insider Transactions Indicate?
It is good to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. When combined with notable insider ownership, these factors suggest Tourmaline Oil insiders are well aligned, and quite possibly think the share price is too low. One for the watchlist, at least! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 3 warning signs for Tourmaline Oil you should know about.
But note: Tourmaline Oil 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 of direct interests only, but not derivative transactions or indirect interests.
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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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
