Whilst it may not be a huge deal, we thought it was good to see that the Mithril Silver and Gold Limited (ASX:MTH) MD, CEO & Executive Director, John Skeet, recently bought AU$80k worth of stock, for AU$0.27 per share. Although the purchase is not a big one, increasing their shareholding by only 5.6%, it can be interpreted as a good sign.
Mithril Silver and Gold Insider Transactions Over The Last Year
In fact, the recent purchase by John Skeet was the biggest purchase of Mithril Silver and Gold shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at above the current price of AU$0.23. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company’s future. In our view, the price an insider pays for shares is very important. As a general rule, we feel more positive about a stock when an insider has bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price. John Skeet was the only individual insider to buy shares in the last twelve months.
You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
See our latest analysis for Mithril Silver and Gold
There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).
Insider Ownership Of Mithril Silver and Gold
Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. From our data, it seems that Mithril Silver and Gold insiders own 14% of the company, worth about AU$6.3m. Overall, this level of ownership isn’t that impressive, but it’s certainly better than nothing!
So What Do The Mithril Silver and Gold Insider Transactions Indicate?
It’s certainly positive to see the recent insider purchase. And the longer term insider transactions also give us confidence. However, we note that the company didn’t make a profit over the last twelve months, which makes us cautious. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Mithril Silver and Gold insiders are expecting a bright future. In addition to knowing about insider transactions going on, it’s beneficial to identify the risks facing Mithril Silver and Gold. At Simply Wall St, we’ve found that Mithril Silver and Gold has 4 warning signs (3 are a bit unpleasant!) that deserve your attention before going any further with your analysis.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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 of direct interests only, but not derivative transactions or indirect interests.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. 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.