President M. Doyle Just Bought 60% More Shares In Civitas Resources, Inc. (NYSE:CIVI)
Civitas Resources, Inc. (NYSE:CIVI) shareholders (or potential shareholders) will be happy to see that the President, M. Doyle, recently bought a whopping US$2.0m worth of stock, at a price of US$59.66. That purchase boosted their holding by 60%, which makes us wonder if the move was inspired by quietly confident deeply-felt optimism.
View our latest analysis for Civitas Resources
The Last 12 Months Of Insider Transactions At Civitas Resources
In fact, the recent purchase by M. Doyle was the biggest purchase of Civitas Resources shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is US$59.71. 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. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the Civitas Resources insider decided to buy shares at close to current prices. The only individual insider to buy over the last year was M. Doyle.
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!
Civitas Resources is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership Of Civitas Resources
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Civitas Resources insiders own 0.4% of the company, worth about US$19m. 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 Civitas Resources Insider Transactions Indicate?
The recent insider purchase is heartening. And an analysis of the transactions over the last year also gives us confidence. Insiders likely see value in Civitas Resources shares, given these transactions (along with notable insider ownership of the company). So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. For example, Civitas Resources has 2 warning signs (and 1 which is a bit concerning) we think you should know about.
Of course Civitas Resources 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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