Blue Star Gold Corp. (CVE:BAU) shareholders (or potential shareholders) will be happy to see that the Non-Independent Director, Georg Pollert, recently bought a whopping CA$1.0m worth of stock, at a price of CA$0.08. Aside from being a solid chunk in its own right, the deft move also saw their holding increase by some 17%.

See our latest analysis for Blue Star Gold

The Last 12 Months Of Insider Transactions At Blue Star Gold

In fact, the recent purchase by Georg Pollert was the biggest purchase of Blue Star Gold shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, even at a higher price than the current share price (being CA$0.075). Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares is very important. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.

In the last twelve months Blue Star Gold insiders were buying shares, but not selling. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Insider Ownership

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. It's great to see that Blue Star Gold insiders own 56% of the company, worth about CA$10m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At Blue Star Gold Tell Us?

It is good to see recent purchasing. And an analysis of the transactions over the last year also gives us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Blue Star Gold. One for the watchlist, at least! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Blue Star Gold. At Simply Wall St, we've found that Blue Star Gold has 4 warning signs (2 are a bit concerning!) that deserve your attention before going any further with your analysis.