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Whilst it may not be a huge deal, we thought it was good to see that the Astute Metals NL (ASX:ASE) Non-Executive Chairman, Anthony Leibowitz, recently bought AU$150k worth of stock, for AU$0.024 per share. However, it only increased their shares held by 8.9%, and it wasn't a huge purchase by absolute value, either.
We've discovered 5 warning signs about Astute Metals. View them for free.
Astute Metals Insider Transactions Over The Last Year
In fact, the recent purchase by Non-Executive Chairman Anthony Leibowitz was not their only acquisition of Astute Metals shares this year. Earlier in the year, they paid AU$0.03 per share in a AU$920k purchase. That means that an insider was happy to buy shares at above the current price of AU$0.021. It's very possible they regret the purchase, but it's more likely they are bullish about the company. To us, it's very important to consider the price insiders pay for shares. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.
In the last twelve months Astute Metals 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!
See our latest analysis for Astute Metals
Astute Metals is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.
Does Astute Metals Boast High Insider Ownership?
Many investors like to check how much of a company is owned by 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. Astute Metals insiders own about AU$5.2m worth of shares (which is 41% of the company). Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
What Might The Insider Transactions At Astute Metals Tell Us?
It is good to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Astute Metals. Nice! 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. To assist with this, we've discovered 5 warning signs that you should run your eye over to get a better picture of Astute Metals.