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 before you buy or sell Condor Petroleum Inc. (TSE:CPI), you may well want to know whether insiders have been buying or selling.
What Is Insider Buying?
Most investors know that it is quite permissible for company leaders, such as directors of the board, to buy and sell stock on the market. However, most countries require that the company discloses such transactions to the market.
Insider transactions are not the most important thing when it comes to long-term investing. 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.’
Condor Petroleum Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when Robert Disbrow bought CA$99k worth of shares at a price of CA$0.58 per share. That means that even when the share price was higher, an insider wanted to purchase shares. Their view may have changed since then, but at least it shows they felt optimistic at the time. That purchase may suggest an expectation of positive returns over the long term. Notably Robert Disbrow was also the biggest seller, having sold CA$2.2k worth of shares.
Happily, we note that in the last year insiders paid CA$607k for 1.23m shares. But they sold 7.75k for CA$2.2k. In the last twelve months there was more buying than selling by Condor Petroleum insiders. The average buy price was around CA$0.49. These transactions suggest that insiders have considered the current price of CA$0.27 attractive. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
If you like to buy stocks alongside management, then you might just love this free list of companies. (Hint: insiders have been buying them).
Are Condor Petroleum Insiders Buying Or Selling?
In the last three months, insiders sold CA$2.2k. But that was only a smidgen more than the CA$75.0 worth of buying. The net selling is so small that it’s hard to draw any conclusions from these recent transactions.
Does Condor Petroleum Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Insiders own 26% of Condor Petroleum shares, worth about CA$3.1m. We’ve certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
What Might The Insider Transactions At Condor Petroleum Tell Us?
Insider selling has just outweighed insider buying in the last three months. But the difference is small, and thus, not concerning. But insiders have shown more of an appetite for the stock, over the last year. Overall we don’t see anything to make us think Condor Petroleum insiders are doubting the company, and they do own shares. I like to dive deeper into how a company has performed in the past. You can find historic revenue and earnings in this detailed graph.
Of course Condor Petroleum may not be the best stock to buy. So you may wish to see this free collection of high quality companies.
To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at email@example.com.