Yahoo Finance Multiple insiders bought Platinum Group Metals Ltd. (TSE:PTM) stock earlier this year, a positive sign for shareholders
It is usually uneventful when a single insider buys stock. However, When quite a few insiders buy shares, as it happened in Platinum Group Metals Ltd.'s (TSE:PTM) case, it's fantastic news for 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 Platinum Group Metals
The Last 12 Months Of Insider Transactions At Platinum Group Metals
While there weren't any large insider transactions in the last twelve months, it's still worth looking at the trading.
Over the last year, we can see that insiders have bought 56.45k shares worth CA$127k. But insiders sold 35.33k shares worth CA$89k. In the last twelve months there was more buying than selling by Platinum Group Metals insiders. They paid about CA$2.24 on average. It's great to see insiders putting their own cash into the company's stock, albeit at below the recent share price (CA$2.30). 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 Platinum Group Metals
Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Our data isn't picking up on much insider ownership at Platinum Group Metals, though insiders do hold about CA$395k worth of shares. We might be missing something but that seems like very low insider ownership.
So What Does This Data Suggest About Platinum Group Metals Insiders?
It doesn't really mean much that no insider has traded Platinum Group Metals shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. The transactions are fine but it'd be more encouraging if Platinum Group Metals insiders bought more shares in the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Platinum Group Metals. For instance, we've identified 2 warning signs for Platinum Group Metals (1 makes us a bit uncomfortable) you should be aware of.
But note: Platinum Group 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.
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