Have Ensign Energy Services Insiders Been Selling Stock?

Investors may wish to note that the President of Ensign Energy Services Inc., Robert Geddes, recently netted CA$102k from selling stock, receiving an average price of CA$2.55. On the bright side, that's just a small sale and only reduced their holding by 2.0%.

This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality.

The Last 12 Months Of Insider Transactions At Ensign Energy Services

In fact, the recent sale by President Robert Geddes was not their only trade of Ensign Energy Services shares this year. They previously purchased CA$146k worth of shares at a price of CA$2.90 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being CA$2.56). It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels. We note that Robert Geddes was also the biggest seller.

Happily, we note that in the last year insiders paid CA$486k for 210.90k shares. But insiders sold 75.00k shares worth CA$202k. In total, Ensign Energy Services insiders bought more than they sold over the last year. Their average price was about CA$2.31. Although they bought at below the recent share price, it is good to see that insiders are willing to invest in the company. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Check out our latest analysis for Ensign Energy Services

There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).

Does Ensign Energy Services Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It appears that Ensign Energy Services insiders own 27% of the company, worth about CA$126m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Do The Ensign Energy Services Insider Transactions Indicate?

An insider hasn't bought Ensign Energy Services stock in the last three months, but there was some selling. But we take heart from prior transactions. And insider ownership remains quite considerable. So the recent selling doesn't worry us. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. In terms of investment risks, we've identified 1 warning sign with Ensign Energy Services and understanding this should be part of your investment process.

But note: Ensign Energy Services 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.

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.