Yahoo Finance With stock up 17%, Insiders of Avira Resources Limited (ASX:AVW) must be wishing they had bought more last year
Avira Resources Limited (ASX:AVW) insiders who purchased shares in the last 12 months were richly rewarded last week. The stock climbed by 17% resulting in a AU$2.1m addition to the company’s market value. In other words, the original AU$226k purchase is now worth AU$476k.
While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
View our latest analysis for Avira Resources
Avira Resources Insider Transactions Over The Last Year
The insider Jason Peterson made the biggest insider purchase in the last 12 months. That single transaction was for AU$216k worth of shares at a price of AU$0.0033 each. We do like to see buying, but this purchase was made at well below the current price of AU$0.007. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.
Avira Resources insiders may have bought shares in the last year, but they didn't sell any. 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!
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 Avira Resources
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. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 30% of Avira Resources shares, worth about AU$4.5m. 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 Avira Resources Insiders?
It doesn't really mean much that no insider has traded Avira Resources shares in the last quarter. However, our analysis of transactions over the last year is heartening. Overall we don't see anything to make us think Avira Resources insiders are doubting the company, and they do own shares. 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. When we did our research, we found 4 warning signs for Avira Resources (2 are concerning!) that we believe deserve your full attention.
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.
