Did CES Energy Solutions Corp. (TSE:CEU) Insiders Sell Shares?
We often see insiders buying up shares in companies that perform well over the long term. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So we'll take a look at whether insiders have been buying or selling shares in CES Energy Solutions Corp. (TSE:CEU).
What Is Insider Selling?
Most investors know that it is quite permissible for company leaders, such as directors of the board, to buy and sell stock in the company. However, most countries require that the company discloses such transactions to the market.
We would never suggest that investors should base their decisions solely on what the directors of a company have been doing. But equally, we would consider it foolish to ignore insider transactions altogether. As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.'
View our latest analysis for CES Energy Solutions
The Last 12 Months Of Insider Transactions At CES Energy Solutions
Over the last year, we can see that the biggest insider sale was by the Independent Director, John Hooks, for CA$262k worth of shares, at about CA$3.28 per share. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The silver lining is that this sell-down took place above the latest price (CA$1.95). So it may not tell us anything about how insiders feel about the current share price.
Happily, we note that in the last year insiders paid CA$190k for 71677 shares. On the other hand they divested 218k shares, for CA$748k. All up, insiders sold more shares in CES Energy Solutions than they bought, over the last year. The chart below shows insider transactions (by individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.
Insiders at CES Energy Solutions Have Bought Stock Recently
It's good to see that CES Energy Solutions insiders have made notable investments in the company's shares. In total, insiders bought CA$79k worth of shares in that time, and we didn't record any sales whatsoever. This could be interpreted as suggesting a positive outlook.
Does CES Energy Solutions Boast High Insider Ownership?
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. It appears that CES Energy Solutions insiders own 6.0% of the company, worth about CA$31m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Do The CES Energy Solutions Insider Transactions Indicate?
It is good to see recent purchasing. On the other hand the transaction history, over the last year, isn't so positive. We don't take much heart from transactions by CES Energy Solutions insiders over the last year. But they own a reasonable amount of the company, and there was some buying recently. So they seem pretty well aligned, overall. Of course, the future is what matters most. So if you are interested in CES Energy Solutions, you should check out this free report on analyst forecasts for the company.
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.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
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. Thank you for reading.
