Executive Vice President of Heavy Mineral Sands Operations Of Energy Fuels Sold 94% Of Their Shares

Explore Energy Fuels's Fair Values from the Community and select yours

We wouldn't blame Energy Fuels Inc. (TSE:EFR) shareholders if they were a little worried about the fact that Timothy Carstens, the Executive Vice President of Heavy Mineral Sands Operations recently netted about CA$3.6m selling shares at an average price of CA$14.36. Probably the most concerning element of the whole transaction is that the disposal amounted to 94% of their entire holding.

AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early.

Energy Fuels Insider Transactions Over The Last Year

In fact, the recent sale by Timothy Carstens was the biggest sale of Energy Fuels shares made by an insider individual in the last twelve months, according to our records. So we know that an insider sold shares at around the present share price of CA$13.08. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.

Over the last year, we can see that insiders have bought 28.40k shares worth CA$172k. But insiders sold 742.34k shares worth CA$8.6m. Over the last year we saw more insider selling of Energy Fuels shares, than buying. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

See our latest analysis for Energy Fuels

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

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. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Energy Fuels insiders own 1.6% of the company, worth about CA$50m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Do The Energy Fuels Insider Transactions Indicate?

Insiders haven't bought Energy Fuels stock in the last three months, but there was some selling. Zooming out, the longer term picture doesn't give us much comfort. Insiders own shares, but we're still pretty cautious, given the history of sales. So we'd only buy after careful consideration. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 3 warning signs for Energy Fuels (of which 2 are a bit concerning!) you should know about.

Of course Energy Fuels 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.