Yahoo Finance Insider Buying: The Galiano Gold Inc. (TSE:GAU) Independent Chairman Just Bought 37% More Shares
Whilst it may not be a huge deal, we thought it was good to see that the Galiano Gold Inc. (TSE:GAU) Independent Chairman, Paul Wright, recently bought CA$84k worth of stock, for CA$0.67 per share. While we're hesitant to get too excited about a purchase of that size, we do note it increased their holding by a solid 37%.
Check out our latest analysis for Galiano Gold
Galiano Gold Insider Transactions Over The Last Year
Notably, that recent purchase by Paul Wright is the biggest insider purchase of Galiano Gold shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of CA$0.72. Of course they may have changed their mind. But this suggests they are optimistic. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. Happily, the Galiano Gold insiders decided to buy shares at close to current prices.
Over the last year, we can see that insiders have bought 492.96k shares worth CA$296k. On the other hand they divested 129.81k shares, for CA$84k. In total, Galiano Gold insiders bought more than they sold over the last year. They paid about CA$0.60 on average. We don't deny that it is nice to see insiders buying stock in the company. However, you should keep in mind that they bought when the share price was meaningfully below today's levels. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
Galiano Gold is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership
Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Our information indicates that Galiano Gold insiders own about CA$502k worth of shares. This level of insider ownership is notably low, and not very encouraging.
What Might The Insider Transactions At Galiano Gold Tell Us?
The recent insider purchases are heartening. And an analysis of the transactions over the last year also gives us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. 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 Galiano Gold stock. 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 1 warning sign for Galiano Gold you should know about.
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.
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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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