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André Rancourt Is The Executive Chairman of Mondias Natural Products Inc. (CVE:NHP) And They Just Spent CA$57k On Shares

Simply Wall St

Even if it's not a huge purchase, we think it was good to see that André Rancourt, the Executive Chairman of Mondias Natural Products Inc. (CVE:NHP) recently shelled out CA$57k to buy stock, at CA$0.15 per share. However, we do note that it only increased their holding by 3.4%, and it wasn't a huge purchase by absolute value, either.

See our latest analysis for Mondias Natural Products

The Last 12 Months Of Insider Transactions At Mondias Natural Products

In fact, the recent sale by Executive Chairman André Rancourt was not their only sale of Mondias Natural Products shares this year. Earlier in the year, they fetched CA$0.10 per share in a -CA$105.0k sale. So it's clear an insider wanted to take some cash off the table, even below the current price of CA$0.14. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. This single sale was just 8.7% of André Rancourt's stake.

In the last twelve months insiders purchased 1533775 shares for CA$233k. But insiders sold 1000000 shares worth CA$105k. In total, Mondias Natural Products insiders bought more than they sold over the last year. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

TSXV:NHP Recent Insider Trading, December 10th 2019

Mondias Natural Products 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.

Does Mondias Natural Products Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Mondias Natural Products insiders own 19% of the company, worth about CA$1.8m. 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 Mondias Natural Products Tell Us?

It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. Insiders likely see value in Mondias Natural Products shares, given these transactions (along with notable insider ownership of the company). To put this in context, take a look at how a company has performed in the past. You can access this detailed graph of past earnings, revenue and cash flow.

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.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.

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