This Insider Has Just Sold Shares In Kelt Exploration

We'd be surprised if Kelt Exploration Ltd. (TSE:KEL) shareholders haven't noticed that the VP & CFO, Sadiq Lalani, recently sold CA$476k worth of stock at CA$6.43 per share. On the bright side, that sale was only 3.7% of their holding, so we doubt it's very meaningful, on its own.

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The Last 12 Months Of Insider Transactions At Kelt Exploration

In the last twelve months, the biggest single purchase by an insider was when CEO, President & Non-Independent Director David Wilson bought CA$4.0m worth of shares at a price of CA$6.05 per share. That means that an insider was happy to buy shares at around the current price of CA$6.70. Of course they may have changed their mind. But this suggests they are optimistic. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. In this case we're pleased to report that the insider purchases were made at close to current prices.

Over the last year, we can see that insiders have bought 659.90k shares worth CA$4.0m. But they sold 109.00k shares for CA$693k. Overall, Kelt Exploration insiders were net buyers during the last year. 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!

See our latest analysis for Kelt Exploration

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 Kelt Exploration 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. I reckon it's a good sign if insiders own a significant number of shares in the company. Kelt Exploration insiders own 17% of the company, currently worth about CA$230m 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.

So What Do The Kelt Exploration Insider Transactions Indicate?

The insider sales have outweighed the insider buying, at Kelt Exploration, in the last three months. In contrast, they appear keener if you look at the last twelve months. And insider ownership remains quite considerable. So the recent selling doesn't worry us. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Kelt Exploration. At Simply Wall St, we found 2 warning signs for Kelt Exploration that deserve your attention before buying any shares.

Of course Kelt Exploration 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.