Yahoo Finance William Holland Is The Chairman of the Board of CI Financial Corp. (TSE:CIX) And Just Spent CA$738k On Shares
CI Financial Corp. (TSE:CIX) shareholders (or potential shareholders) will be happy to see that the Chairman of the Board, William Holland, recently bought a whopping CA$738k worth of stock, at a price of CA$14.75. While that only increased their holding size by 0.5%, it is still a big swing by our standards.
See our latest analysis for CI Financial
The Last 12 Months Of Insider Transactions At CI Financial
Notably, that recent purchase by Chairman of the Board William Holland was not the only time they bought CI Financial shares this year. They previously made an even bigger purchase of CA$2.4m worth of shares at a price of CA$23.92 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being CA$14.75). 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. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.
Over the last year, we can see that insiders have bought 638.88k shares worth CA$15m. But insiders sold 78.92k shares worth CA$2.0m. Overall, CI Financial insiders were net buyers during the last year. You can see the insider transactions (by companies and 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 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).
Insider Ownership of CI Financial
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. It's great to see that CI Financial insiders own 5.9% of the company, worth about CA$168m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
So What Does This Data Suggest About CI Financial Insiders?
It is good to see recent purchasing. And an analysis of the transactions over the last year also gives us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about CI Financial. That's what I like to see! 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. Case in point: We've spotted 4 warning signs for CI Financial you should be aware of, and 1 of them is concerning.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.
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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.
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