Core Energy Minerals Insiders Lose Out As Stock Sinks To AU$0.013

The recent price decline of 19% in Core Energy Minerals Ltd's (ASX:CR3) stock may have disappointed insiders who bought AU$339.5k worth of shares at an average price of AU$0.023 in the past 12 months. Insiders purchase with the hope of seeing their investments increase in value over time. However, due to recent losses, their initial investment is now only worth AU$189.9k, which is not great.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

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The Last 12 Months Of Insider Transactions At Core Energy Minerals

In fact, the recent purchase by Christopher Gale was the biggest purchase of Core Energy Minerals 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$0.013. 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. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

While Core Energy Minerals insiders bought shares during the last year, they didn't sell. They paid about AU$0.023 on average. These transactions suggest that insiders have considered the current price attractive. 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!

View our latest analysis for Core Energy Minerals

Core Energy Minerals is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Insiders At Core Energy Minerals Have Bought Stock Recently

Over the last quarter, Core Energy Minerals insiders have spent a meaningful amount on shares. In total, insiders bought AU$218k worth of shares in that time, and we didn't record any sales whatsoever. This makes one think the business has some good points.

Does Core Energy Minerals Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 14% of Core Energy Minerals shares, worth about AU$577k, according to our data. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!

So What Do The Core Energy Minerals Insider Transactions Indicate?

The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. But we don't feel the same about the fact the company is making losses. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on Core Energy Minerals stock. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Core Energy Minerals. When we did our research, we found 5 warning signs for Core Energy Minerals (4 don't sit too well with us!) that we believe deserve your full attention.

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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.