Po Valley Energy Stock Down 12% But Insiders Still In €81k Profit

Po Valley Energy Limited (ASX:PVE) insiders who acquired shares over the previous 12 months, can probably afford to ignore the recent 12% decline in the stock price. Reason being, despite the recent loss, insiders original purchase value of €455.1k is now worth €536.1k.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.

Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit.

The Last 12 Months Of Insider Transactions At Po Valley Energy

In the last twelve months, the biggest single purchase by an insider was when Executive Chairman & CEO Kevin Bailey bought AU$258k worth of shares at a price of AU$0.035 per share. We do like to see buying, but this purchase was made at well below the current price of AU$0.043. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Po Valley Energy insiders may have bought shares in the last year, but they didn't sell any. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

Check out our latest analysis for Po Valley Energy

Po Valley Energy 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 Po Valley Energy Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Po Valley Energy insiders own about AU$28m worth of shares (which is 56% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Do The Po Valley Energy Insider Transactions Indicate?

The fact that there have been no Po Valley Energy insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. It would be great to see more insider buying, but overall it seems like Po Valley Energy insiders are reasonably well aligned (owning significant chunk of the company's shares) and optimistic for the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Po Valley Energy. For example - Po Valley Energy has 1 warning sign we think you should be aware of.

But note: Po Valley Energy may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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 of direct interests only, but not derivative transactions or indirect interests.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.