Insider Spends AU$100k Buying More Shares In Blaze Minerals

Whilst it may not be a huge deal, we thought it was good to see that the Blaze Minerals Limited (ASX:BLZ) Independent Non-Executive Director, Mathew Walker, recently bought AU$100k worth of stock, for AU$0.002 per share. That purchase might not be huge but it did increase their holding by 37%.

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The Last 12 Months Of Insider Transactions At Blaze Minerals

In fact, the recent purchase by Independent Non-Executive Director Mathew Walker was not their only acquisition of Blaze Minerals shares this year. They previously made an even bigger purchase of AU$456k worth of shares at a price of AU$0.004 per share. That means that even when the share price was higher than AU$0.003 (the recent price), an insider wanted to purchase shares. 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. To us, it's very important to consider the price insiders pay for shares. It is encouraging to see an insider paid above the current price for shares, as it suggests they saw value, even at higher levels. Mathew Walker was the only individual insider to buy shares in the last twelve months. We note that Mathew Walker was also the biggest seller.

Mathew Walker bought a total of 164.00m shares over the year at an average price of AU$0.0034. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

Check out our latest analysis for Blaze Minerals

Blaze Minerals 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.

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. Insiders own 12% of Blaze Minerals shares, worth about AU$1.0m, according to our data. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. We do generally prefer see higher levels of insider ownership.

So What Does This Data Suggest About Blaze Minerals Insiders?

It's certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. 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 Blaze Minerals insiders are expecting a bright future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Blaze Minerals. At Simply Wall St, we found 5 warning signs for Blaze Minerals that deserve your attention before buying any shares.

Of course Blaze Minerals may not be the best stock to buy. So you may wish to see this free collection of high quality 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.