Yahoo Finance Insider Buying: Phillip Coulson Just Spent AU$160k On Vital Metals Limited (ASX:VML) Shares
Potential Vital Metals Limited (ASX:VML) shareholders may wish to note that insider Phillip Coulson recently bought AU$160k worth of stock, paying AU$0.032 for each share. Although the purchase only increased their holding by 2.9%, it is still a solid purchase in our view.
Check out our latest analysis for Vital Metals
The Last 12 Months Of Insider Transactions At Vital Metals
Notably, that recent purchase by Phillip Coulson is the biggest insider purchase of Vital Metals shares that we've seen in the last year. That means that even when the share price was higher than AU$0.03 (the recent price), an insider wanted to purchase shares. It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. Phillip Coulson was the only individual insider to buy shares in the last twelve months.
You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
Vital Metals is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership of Vital Metals
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Vital Metals insiders own 24% of the company, worth about AU$19m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
So What Do The Vital Metals Insider Transactions Indicate?
It's certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. Given that insiders also own a fair bit of Vital Metals we think they are probably pretty confident of a bright future. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. At Simply Wall St, we've found that Vital Metals has 5 warning signs (2 are concerning!) that deserve your attention before going any further with your analysis.
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.
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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