A number of insiders bought Vertex Resource Group Ltd. (CVE:VTX) stock last year, which is great news for shareholders
Usually, when one insider buys stock, it might not be a monumental event. But when multiple insiders are buying like they did in the case of Vertex Resource Group Ltd. (CVE:VTX), that sends out a positive message to the company's shareholders.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.
Check out our latest analysis for Vertex Resource Group
The Last 12 Months Of Insider Transactions At Vertex Resource Group
Over the last year, we can see that the biggest insider sale was by the insider, Jason Clemett, for CA$501k worth of shares, at about CA$0.55 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is CA$0.39. So it may not shed much light on insider confidence at current levels. Jason Clemett was the only individual insider to sell shares in the last twelve months.
Happily, we note that in the last year insiders paid CA$676k for 1.70m shares. But they sold 910.00k shares for CA$501k. In total, Vertex Resource Group insiders bought more than they sold over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Vertex Resource Group 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.
Vertex Resource Group Insiders Bought Stock Recently
There was some insider buying at Vertex Resource Group over the last quarter. Insiders purchased CA$31k worth of shares in that period. We like it when there are only buyers, and no sellers. But the amount invested in the last three months isn't enough for us too put much weight on it, as a single factor.
Insider Ownership Of Vertex Resource Group
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. We usually like to see fairly high levels of insider ownership. It appears that Vertex Resource Group insiders own 36% of the company, worth about CA$16m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
So What Do The Vertex Resource Group Insider Transactions Indicate?
Our data shows a little insider buying, but no selling, in the last three months. Overall the buying isn't worth writing home about. On a brighter note, the transactions over the last year are encouraging. Insiders do have a stake in Vertex Resource Group and their transactions don't cause us concern. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Vertex Resource Group. At Simply Wall St, we've found that Vertex Resource Group has 4 warning signs (1 is a bit unpleasant!) that deserve your attention before going any further with your analysis.
But note: Vertex Resource Group 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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