Insiders At Anfield Energy See Good Returns After Buying Stock Worth CA$973.9k

Anfield Energy Inc. (CVE:AEC) insiders who acquired shares over the previous 12 months, can probably afford to ignore the recent 13% decline in the stock price. Even after accounting for the recent loss, the CA$973.9k worth of stock purchased by them is now worth CA$1.15m or in other words, their investment continues to give good returns.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

Check out our latest analysis for Anfield Energy

Anfield Energy Insider Transactions Over The Last Year

The Co-Founder Corey Dias made the biggest insider purchase in the last 12 months. That single transaction was for CA$195k worth of shares at a price of CA$0.065 each. So it's clear an insider wanted to buy, at around the current price, which is CA$0.07. 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 Anfield Energy insiders decided to buy shares at close to current prices.

Happily, we note that in the last year insiders paid CA$974k for 16.38m shares. On the other hand they divested 982.50k shares, for CA$72k. In total, Anfield Energy insiders bought more than they sold over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

Anfield Energy is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Anfield Energy Insiders Bought Stock Recently

There has been significantly more insider buying, than selling, at Anfield Energy, over the last three months. In fact, four insiders bought CA$474k worth of shares. But we did see insider selling worth CA$31k. We think insiders may be optimistic about the future, since insiders have been net buyers of shares.

Does Anfield Energy Boast High 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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Our data suggests Anfield Energy insiders own 4.7% of the company, worth about CA$3.3m. I generally like to see higher levels of ownership.

So What Do The Anfield Energy Insider Transactions Indicate?

It is good to see recent purchasing. We also take confidence from the longer term picture of insider transactions. But on the other hand, the company made a loss during the last year, which makes us a little cautious. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that Anfield Energy insiders are reasonably well aligned, and optimistic for the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Anfield Energy. At Simply Wall St, we've found that Anfield Energy has 4 warning signs (2 are concerning!) that deserve your attention before going any further with your analysis.

But note: Anfield Energy 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.

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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.