Reversal Of Fortune For PyroGenesis Canada Insiders Who Made A CA$2.52m Purchase

Insiders who bought CA$2.52m worth of PyroGenesis Canada Inc. (TSE:PYR) stock in the last year have seen some of their losses recouped as the stock gained 19% last week. However, total losses seen by insiders are still CA$1.2m since the time of purchase.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

View our latest analysis for PyroGenesis Canada

PyroGenesis Canada Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when President Photis Pascali bought CA$2.5m worth of shares at a price of CA$1.00 per share. That means that an insider was happy to buy shares at above the current price of CA$0.51. 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. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.

In the last twelve months insiders purchased 2.52m shares for CA$2.5m. But insiders sold 31.03k shares worth CA$28k. Overall, PyroGenesis Canada insiders were net buyers during the last year. 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!

PyroGenesis Canada is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. PyroGenesis Canada insiders own 42% of the company, currently worth about CA$35m based on the recent share price. 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 Does This Data Suggest About PyroGenesis Canada Insiders?

The fact that there have been no PyroGenesis Canada insider transactions recently certainly doesn't bother us. But insiders have shown more of an appetite for the stock, over the last year. It would be great to see more insider buying, but overall it seems like PyroGenesis Canada insiders are reasonably well aligned (owning significant chunk of the company's shares) and optimistic for the future. While we like knowing 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. Be aware that PyroGenesis Canada is showing 3 warning signs in our investment analysis, and 1 of those makes us a bit uncomfortable...

Of course PyroGenesis Canada 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.