Northfield Capital Insiders Placed Bullish Bets Worth CA$1.53m

In the last year, multiple insiders have substantially increased their holdings of Northfield Capital Corporation (CVE:NFD.A) stock, indicating that insiders' optimism about the company's prospects has increased.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

See our latest analysis for Northfield Capital

The Last 12 Months Of Insider Transactions At Northfield Capital

In the last twelve months, the biggest single purchase by an insider was when Independent Director John McBride bought CA$1.0m worth of shares at a price of CA$20.00 per share. That means that an insider was happy to buy shares at around the current price of CA$21.00. 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. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the Northfield Capital insiders decided to buy shares at close to current prices.

In the last twelve months Northfield Capital insiders were buying shares, but not selling. 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!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.

Does Northfield Capital Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. It appears that Northfield Capital insiders own 39% of the company, worth about CA$28m. 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 Do The Northfield Capital Insider Transactions Indicate?

It doesn't really mean much that no insider has traded Northfield Capital shares in the last quarter. However, our analysis of transactions over the last year is heartening. Insiders own shares in Northfield Capital and we see no evidence to suggest they are worried about the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Northfield Capital. Every company has risks, and we've spotted 4 warning signs for Northfield Capital (of which 2 shouldn't be ignored!) you should know about.

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.