Gold Road Resources Insider Lowered Holding By 15% During Last Year

Insiders were net sellers of Gold Road Resources Limited's (ASX:GOR ) stock during the past year. That is, insiders sold more stock than they bought.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

View our latest analysis for Gold Road Resources

Gold Road Resources Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the MD, CEO & Director, Duncan Gibbs, sold AU$370k worth of shares at a price of AU$1.85 per share. So we know that an insider sold shares at around the present share price of AU$1.70. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive). Duncan Gibbs was the only individual insider to sell shares in the last twelve months.

Happily, we note that in the last year insiders paid AU$108k for 78.76k shares. On the other hand they divested 200.00k shares, for AU$370k. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

For those who like to find hidden gems this free list of small cap companies with recent insider purchasing, could be just the ticket.

Insiders At Gold Road Resources Have Bought Stock Recently

Over the last quarter, Gold Road Resources insiders have spent a meaningful amount on shares. Not only was there no selling that we can see, but they collectively bought AU$108k worth of shares. This could be interpreted as suggesting a positive outlook.

Does Gold Road Resources Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It appears that Gold Road Resources insiders own 1.6% of the company, worth about AU$30m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

What Might The Insider Transactions At Gold Road Resources Tell Us?

The recent insider purchases are heartening. But we can't say the same for the transactions over the last 12 months. While recent transactions indicate confidence in Gold Road Resources, insiders don't own enough of the company to overcome our cautiousness about the longer term transactions. In short they are likely aligned with shareholders. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Gold Road Resources.

But note: Gold Road Resources 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.

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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.