Ostrom Climate Solutions Insider Confidence Rewarded, Stock Hits CA$11m Market Cap

Insiders who bought Ostrom Climate Solutions Inc. (CVE:COO) stock in the last 12 months were richly rewarded last week. The company's market value increased by CA$2.4m as a result of the stock's 28% gain over the same period. As a result, their original purchase of CA$374.9k worth of stock is now worth CA$580.3k.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

View our latest analysis for Ostrom Climate Solutions

Ostrom Climate Solutions Insider Transactions Over The Last Year

The Director Guy O’Loughnane made the biggest insider purchase in the last 12 months. That single transaction was for CA$250k worth of shares at a price of CA$0.069 each. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of CA$0.12. 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.

In the last twelve months Ostrom Climate Solutions insiders were buying shares, but not selling. 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!

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

Ostrom Climate Solutions Insiders Bought Stock Recently

There was some insider buying at Ostrom Climate Solutions over the last quarter. Insiders purchased CA$32k worth of shares in that period. It's great to see that insiders are only buying, not selling. But in this case the amount purchased means the recent transaction may not be very meaningful on its own.

Insider Ownership Of Ostrom Climate Solutions

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Ostrom Climate Solutions insiders own 43% of the company, currently worth about CA$4.8m based on the recent share price. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At Ostrom Climate Solutions Tell Us?

Insider purchases may have been minimal, in the last three months, but there was no selling at all. Overall the buying isn't worth writing home about. However, our analysis of transactions over the last year is heartening. With high insider ownership and encouraging transactions, it seems like Ostrom Climate Solutions insiders think the business has merit. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For instance, we've identified 5 warning signs for Ostrom Climate Solutions (3 are a bit unpleasant) you should be aware of.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.