Yahoo Finance Quite a few insiders invested in Panther Metals Limited (ASX:PNT) last year which is positive news for shareholders
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 Panther Metals Limited (ASX:PNT), it sends a favourable message to the company's shareholders.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.
See our latest analysis for Panther Metals
The Last 12 Months Of Insider Transactions At Panther Metals
The CFO, Company Secretary & Executive Director Ranko Matic made the biggest insider purchase in the last 12 months. That single transaction was for AU$96k worth of shares at a price of AU$0.20 each. Even though the purchase was made at a significantly lower price than the recent price (AU$0.23), we still think insider buying is a positive. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.
While Panther Metals insiders bought shares during the last year, they didn't sell. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Panther Metals is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insiders at Panther Metals Have Bought Stock Recently
It's good to see that Panther Metals insiders have made notable investments in the company's shares. Specifically, CFO, Company Secretary & Executive Director Ranko Matic bought AU$115k worth of shares in that time, and we didn't record any sales whatsoever. That shows some optimism about the company's future.
Does Panther Metals Boast High Insider Ownership?
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. From our data, it seems that Panther Metals insiders own 14% of the company, worth about AU$1.8m. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!
What Might The Insider Transactions At Panther Metals Tell Us?
It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. But we don't feel the same about the fact the company is making losses. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that Panther Metals insiders are reasonably well aligned, and optimistic for the future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we found 2 warning signs for Panther Metals that deserve your attention before buying any shares.
But note: Panther Metals 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, 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.
