Investors who take an interest in Teck Resources Limited (TSE:TECK.B) should definitely note that the Senior Vice President of Base Metals, Dale Andres, recently paid CA$21.23 per share to buy CA$212k worth of the stock. That's a very decent purchase to our minds and it grew their holding by a solid 17%.
Teck Resources Insider Transactions Over The Last Year
Senior Vice President of Corporate Development Andrew Golding made the biggest insider purchase in the last 12 months. That single transaction was for CA$2.1m worth of shares at a price of CA$29.72 each. That means that even when the share price was higher than CA$21.19 (the recent price), an insider wanted to purchase shares. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.
In the last twelve months insiders purchased 97060 shares for CA$2.7m. But they sold 2600 for CA$82k. In total, Teck Resources insiders bought more than they sold over the last year. You can see the insider transactions (by 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!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Does Teck Resources Boast High 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. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Teck Resources insiders own 0.2% of the company, worth about CA$19m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
What Might The Insider Transactions At Teck Resources Tell Us?
The recent insider purchases are heartening. And an analysis of the transactions over the last year also gives us confidence. When combined with notable insider ownership, these factors suggest Teck Resources insiders are well aligned, and that they may think the share price is too low. If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.
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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