Yahoo Finance Quite a few insiders invested in Antilles Gold Limited (ASX:AAU) last year which is positive news for shareholders
It is usually uneventful when a single insider buys stock. However, When quite a few insiders buy shares, as it happened in Antilles Gold Limited's (ASX:AAU) case, it's fantastic news for shareholders.
Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.
View our latest analysis for Antilles Gold
Antilles Gold Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when insider Erle Edwinson bought AU$86k worth of shares at a price of AU$0.051 per share. We do like to see buying, but this purchase was made at well below the current price of AU$0.075. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
While Antilles Gold insiders bought shares during the last year, they didn't sell. The average buy price was around AU$0.07. Although they bought at below the recent share price, it is good to see that insiders are willing to invest in the company. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Antilles Gold is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Antilles Gold Insiders Bought Stock Recently
Over the last quarter, Antilles Gold insiders have spent a meaningful amount on shares. We can see that Executive Chairman Brian Johnson paid AU$73k for shares in the company. No-one sold. This makes one think the business has some good points.
Insider Ownership
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. Antilles Gold insiders own about AU$8.5m worth of shares. That equates to 37% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Does This Data Suggest About Antilles Gold Insiders?
The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. When combined with notable insider ownership, these factors suggest Antilles Gold insiders are well aligned, and that they may think the share price is too low. 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. To that end, you should learn about the 5 warning signs we've spotted with Antilles Gold (including 3 which are a bit 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.
