The Independent Director of SQI Diagnostics Inc. (CVE:SQD), Gerald Connor, Just Bought 5.8% More Shares
Potential SQI Diagnostics Inc. (CVE:SQD) shareholders may wish to note that the Independent Director, Gerald Connor, recently bought CA$500k worth of stock, paying CA$0.09 for each share. While that's a very decent purchase to our minds, it was proportionally a bit modest, boosting their holding by just 5.8%.
See our latest analysis for SQI Diagnostics
The Last 12 Months Of Insider Transactions At SQI Diagnostics
In fact, the recent purchase by Gerald Connor was the biggest purchase of SQI Diagnostics shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at above the current price of CA$0.08. It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. Gerald Connor was the only individual insider to buy shares in the last twelve months. We note that Gerald Connor was also the biggest seller.
You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
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 SQI Diagnostics 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. We usually like to see fairly high levels of insider ownership. SQI Diagnostics insiders own about CA$15m worth of shares (which is 47% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
What Might The Insider Transactions At SQI Diagnostics Tell Us?
The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. When combined with notable insider ownership, these factors suggest SQI Diagnostics insiders are well aligned, and quite possibly think the share price is too low. Nice! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing SQI Diagnostics. For example, SQI Diagnostics has 5 warning signs (and 3 which shouldn't be ignored) we think you should know about.
Of course SQI Diagnostics may not be the best stock to buy. So you may wish to see this free collection of high quality 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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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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