How Many TransCanna Holdings Inc. (CSE:TCAN) Shares Did Insiders Buy, In The Last Year?

It is not uncommon to see companies perform well in the years after insiders buy shares. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So we'll take a look at whether insiders have been buying or selling shares in TransCanna Holdings Inc. (CSE:TCAN).

What Is Insider Buying?

It's quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, rules govern insider transactions, and certain disclosures are required.

We would never suggest that investors should base their decisions solely on what the directors of a company have been doing. But it is perfectly logical to keep tabs on what insiders are doing. For example, a Columbia University study found that 'insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers'.

See our latest analysis for TransCanna Holdings

TransCanna Holdings Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when Chairman Arni Johannson bought CA$186k worth of shares at a price of CA$0.62 per share. We do like to see buying, but this purchase was made at well below the current price of CA$1.16. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

Over the last year, we can see that insiders have bought 551.00k shares worth CA$568k. But they sold 323000 for CA$286k. Overall, TransCanna Holdings insiders were net buyers last year. Their average price was about CA$1.03. These transactions show that insiders have confidence to invest their own money in the stock, albeit at slightly below the recent price. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

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

Have TransCanna Holdings Insiders Traded Recently?

In the last quarter we saw Chairman Arni Johannson spend CA$186k on shares. That's only a tiny bit more than the sales, worth CA$186k. Looking at the net result, we don't think these recent trades shed much light on how insiders, as a group, are feeling about the company's prospects.

Insider Ownership of TransCanna Holdings

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. From our data, it seems that TransCanna Holdings insiders own 9.8% of the company, worth about CA$4.7m. Whilst better than nothing, we're not overly impressed by these holdings.

What Might The Insider Transactions At TransCanna Holdings Tell Us?

We can't make any useful conclusions about recent trading, since insider buying and selling has been balanced. However, our analysis of transactions over the last year is heartening. We'd like to see bigger individual holdings. However, we don't see anything to make us think TransCanna Holdings insiders are doubting the company. I like to dive deeper into how a company has performed in the past. You can find historic revenue and earnings in this detailed graph.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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, but not derivative transactions.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.

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