Yahoo Finance The CEO & Director of Condor Gold Plc (LON:CNR), Mark Child, Just Bought 6.1% More Shares
Whilst it may not be a huge deal, we thought it was good to see that the Condor Gold Plc (LON:CNR) CEO & Director, Mark Child, recently bought UK£62k worth of stock, for UK£0.24 per share. Although the purchase is not a big one, increasing their shareholding by only 6.1%, it can be interpreted as a good sign.
Check out our latest analysis for Condor Gold
Condor Gold Insider Transactions Over The Last Year
The Independent Non-Executive Chairman James Mellon made the biggest insider purchase in the last 12 months. That single transaction was for UK£3.5m worth of shares at a price of UK£0.40 each. So it's clear an insider wanted to buy, even at a higher price than the current share price (being UK£0.28). Their view may have changed since then, but at least it shows they felt optimistic at the time. We always take careful note of the price insiders pay when purchasing shares. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.
In the last twelve months Condor Gold insiders were buying shares, but not selling. They paid about UK£0.23 on average. To my mind it is good that insiders have invested their own money in the company. However, you should keep in mind that they bought when the share price was meaningfully below today's levels. 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!
Condor Gold is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
Insider Ownership
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Condor Gold insiders own about UK£12m worth of shares. That equates to 24% of the company. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
What Might The Insider Transactions At Condor Gold Tell Us?
It is good to see the recent insider purchase. 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. When combined with notable insider ownership, these factors suggest Condor Gold insiders are well aligned, and that they may think the share price is too low. 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. At Simply Wall St, we've found that Condor Gold has 6 warning signs (3 don't sit too well with us!) that deserve your attention before going any further with your analysis.
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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