Trade Alert: The Chairman & CEO Of Alpha Metallurgical Resources, Inc. (NYSE:AMR), David Stetson, Has Just Spent US$73k Buying 4.4% More Shares
Whilst it may not be a huge deal, we thought it was good to see that the Alpha Metallurgical Resources, Inc. (NYSE:AMR) Chairman & CEO, David Stetson, recently bought US$73k worth of stock, for US$14.52 per share. Although the purchase is not a big one, increasing their shareholding by only 4.4%, it can be interpreted as a good sign.
View our latest analysis for Alpha Metallurgical Resources
The Last 12 Months Of Insider Transactions At Alpha Metallurgical Resources
Over the last year, we can see that the biggest insider purchase was by insider Michael Gorzynski for US$1.4m worth of shares, at about US$8.75 per share. We do like to see buying, but this purchase was made at well below the current price of US$13.91. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.
In the last twelve months Alpha Metallurgical Resources insiders were buying shares, but not selling. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Alpha Metallurgical 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
For a common shareholder, it is worth checking how many shares are held by company 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 Alpha Metallurgical Resources insiders own 12% of the company, worth about US$31m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Does This Data Suggest About Alpha Metallurgical Resources Insiders?
It's certainly positive to see the recent insider purchases. And an analysis of the transactions over the last year also gives us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. When combined with notable insider ownership, these factors suggest Alpha Metallurgical Resources insiders are well aligned, and that they may think the share price is too low. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Alpha Metallurgical Resources.
Of course Alpha Metallurgical 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.
This article by Simply Wall St is general in nature. 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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