Have Insiders Sold Western Energy Services Shares Recently?

Anyone interested in Western Energy Services Corp. (TSE:WRG) should probably be aware that a company insider, Jeffrey Bowers, recently divested CA$521k worth of shares in the company, at an average price of CA$2.75 each. Equally important, that sale actually reduced their holding by a full 100% which hardly makes us feel bullish about the stock.

See our latest analysis for Western Energy Services

The Last 12 Months Of Insider Transactions At Western Energy Services

In fact, the recent sale by Jeffrey Bowers was the biggest sale of Western Energy Services shares made by an insider individual in the last twelve months, according to our records. That means that even when the share price was slightly below the current price of CA$2.80, an insider wanted to cash in some shares. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. It is worth noting that this sale was 100% of Jeffrey Bowers's holding.

Happily, we note that in the last year insiders paid CA$42k for 13.10k shares. On the other hand they divested 217.80k shares, for CA$599k. Jeffrey Bowers ditched 217.80k shares over the year. The average price per share was CA$2.75. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

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Does Western Energy Services Boast High Insider Ownership?

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. A high insider ownership often makes company leadership more mindful of shareholder interests. Our data indicates that Western Energy Services insiders own about CA$7.9m worth of shares (which is 8.3% of the company). However, it's possible that insiders might have an indirect interest through a more complex structure. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!

So What Does This Data Suggest About Western Energy Services Insiders?

The insider sales have outweighed the insider buying, at Western Energy Services, in the last three months. Zooming out, the longer term picture doesn't give us much comfort. Insiders own relatively few shares in the company, and when you consider the sales, we're not particularly excited about the stock. So we'd only buy after very 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. Case in point: We've spotted 2 warning signs for Western Energy Services you should be aware of.

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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.