Non-Executive Director of Tamboran Resources David Siegel Buys 4.1% More Shares
Even if it's not a huge purchase, we think it was good to see that David Siegel, the Non-Executive Director of Tamboran Resources Limited (ASX:TBN) recently shelled out AU$85k to buy stock, at AU$0.17 per share. Although the purchase is not a big one, increasing their shareholding by only 4.1%, it can be interpreted as a good sign.
View our latest analysis for Tamboran Resources
The Last 12 Months Of Insider Transactions At Tamboran Resources
Over the last year, we can see that the biggest insider purchase was by insider Bryan Sheffield for AU$30m worth of shares, at about AU$0.21 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being AU$0.17). It's very possible they regret the purchase, but it's more likely they are bullish about the company. To us, it's very important to consider the price insiders pay for shares. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.
Tamboran Resources insiders may have bought shares in the last year, but they didn't sell any. You can see the insider transactions (by companies and 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!
Tamboran Resources 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.
Insider Ownership Of Tamboran Resources
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with 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. It appears that Tamboran Resources insiders own 22% of the company, worth about AU$64m. 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 Tamboran Resources Tell Us?
The recent insider purchases are heartening. We also take confidence from the longer term picture of insider transactions. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Given that insiders also own a fair bit of Tamboran Resources we think they are probably pretty confident of a bright future. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Be aware that Tamboran Resources is showing 4 warning signs in our investment analysis, and 3 of those are concerning...
But note: Tamboran Resources 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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