Insider Buying: The Liberty Gold Corp. (TSE:LGD) Chief Operating Officer of USA Operations Just Bought US$89k Worth Of Shares

Even if it's not a huge purchase, we think it was good to see that James Lincoln, the Chief Operating Officer of USA Operations of Liberty Gold Corp. (TSE:LGD) recently shelled out CA$89k to buy stock, at CA$1.28 per share. That might not be a big purchase but it only increased their holding by 5.4%, and could be interpreted as a good sign.

View our latest analysis for Liberty Gold

The Last 12 Months Of Insider Transactions At Liberty Gold

President Calvin Everett made the biggest insider purchase in the last 12 months. That single transaction was for CA$220k worth of shares at a price of CA$0.55 each. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of CA$1.20. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.

Liberty Gold insiders may have bought shares in the last year, but they didn't sell any. They paid about CA$0.64 on average. We don't deny that it is nice to see insiders buying stock in the company. But we must note that the investments were made at well below today's share price. The chart below shows insider transactions (by individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

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.

Does Liberty Gold Boast High Insider Ownership?

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. Insiders own 6.9% of Liberty Gold shares, worth about CA$20m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

What Might The Insider Transactions At Liberty Gold Tell Us?

It's certainly positive to see the recent insider purchases. We also take confidence from the longer term picture of insider transactions. But on the other hand, the company made a loss last year, which makes us a little cautious. When combined with notable insider ownership, these factors suggest Liberty Gold insiders are well aligned, and that they may think the share price is too low. Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for Liberty Gold.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

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.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. 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. Simply Wall St has no position in the stocks mentioned.

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