Green Critical Minerals Loses AU$3.9m Market Value But Insiders See Windfall Of AU$63k

Insiders who bought Green Critical Minerals Limited (ASX:GCM) stock lover the last 12 months are probably not as affected by last week’s 18% loss. Even after accounting for the recent loss, the AU$162.5k worth of stock purchased by them is now worth AU$225.0k or in other words, their investment continues to give good returns.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

We've discovered 6 warning signs about Green Critical Minerals. View them for free.

Green Critical Minerals Insider Transactions Over The Last Year

The insider Leon Pretorius made the biggest insider purchase in the last 12 months. That single transaction was for AU$162k worth of shares at a price of AU$0.0065 each. We do like to see buying, but this purchase was made at well below the current price of AU$0.009. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

See our latest analysis for Green Critical Minerals

Green Critical 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 Of Green Critical Minerals

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. From our data, it seems that Green Critical Minerals insiders own 12% of the company, worth about AU$2.2m. 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!

What Might The Insider Transactions At Green Critical Minerals Tell Us?

There haven't been any insider transactions in the last three months -- that doesn't mean much. On a brighter note, the transactions over the last year are encouraging. The transactions are fine but it'd be more encouraging if Green Critical Minerals insiders bought more shares in the company. While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. To help with this, we've discovered 6 warning signs (5 are a bit unpleasant!) that you ought to be aware of before buying any shares in Green Critical Minerals.

Of course Green Critical 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.