Ozz Resources Insider Buyers Net AU$20k Despite 10.0% Stock Decline

Ozz Resources Limited (ASX:OZZ) insiders who acquired shares over the previous 12 months, can probably afford to ignore the recent 10.0% decline in the stock price. Even after accounting for the recent loss, the AU$193k worth of stock purchased by them is now worth AU$213k 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.

View our latest analysis for Ozz Resources

Ozz Resources Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by insider Jason Peterson for AU$102k worth of shares, at about AU$0.05 per share. We do like to see buying, but this purchase was made at well below the current price of AU$0.063. 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.

Jason Peterson bought a total of 3.38m shares over the year at an average price of AU$0.057. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

Ozz Resources is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Does Ozz Resources Boast High 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 23% of Ozz Resources shares, worth about AU$1.6m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Does This Data Suggest About Ozz Resources Insiders?

The fact that there have been no Ozz Resources insider transactions recently certainly doesn't bother us. But insiders have shown more of an appetite for the stock, over the last year. Overall we don't see anything to make us think Ozz Resources insiders are doubting the company, and they do own shares. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. To help with this, we've discovered 4 warning signs (3 shouldn't be ignored!) that you ought to be aware of before buying any shares in Ozz Resources.

But note: Ozz 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.