Whilst it may not be a huge deal, we thought it was good to see that the Reunion Gold Corporation (CVE:RGD) Independent Director, Richard Cohen, recently bought CA$69k worth of stock, for CA$0.46 per share. That purchase might not be huge but it did increase their holding by 11%.
View our latest analysis for Reunion Gold
Reunion Gold Insider Transactions Over The Last Year
Over the last year, we can see that the biggest insider sale was by the Director, Rejean Gourde, for CA$248k worth of shares, at about CA$0.41 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of CA$0.42. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. This single sale was just 16% of Rejean Gourde's stake. Rejean Gourde was the only individual insider to sell over the last year.
Happily, we note that in the last year insiders paid CA$477k for 1.24m shares. On the other hand they divested 890.00k shares, for CA$308k. In total, Reunion Gold insiders bought more than they sold over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).
Does Reunion Gold Boast High Insider Ownership?
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Reunion Gold insiders own about CA$29m worth of shares. That equates to 5.7% of the company. 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 Does This Data Suggest About Reunion Gold 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 Reunion Gold insiders are well aligned, and that they may think the share price is too low. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Case in point: We've spotted 4 warning signs for Reunion Gold you should be aware of, and 2 of them shouldn't be ignored.