International Battery Metals Insider Buyers See Boost After Market Cap Rose CA$19m

Insiders who bought International Battery Metals Ltd. (CSE:IBAT) stock in the last 12 months were richly rewarded last week. The company's market value increased by CA$19m as a result of the stock's 10.0% gain over the same period. As a result, the stock they originally bought for CA$1.25m is now worth CA$1.67m.

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.

View our latest analysis for International Battery Metals

The Last 12 Months Of Insider Transactions At International Battery Metals

In the last twelve months, the biggest single purchase by an insider was when Co-Chief Executive Officer Garry Flowers bought CA$679k worth of shares at a price of CA$0.70 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of CA$0.99. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.

In the last twelve months International Battery Metals insiders were buying shares, but not selling. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insider Ownership Of International Battery Metals

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. Insiders own 16% of International Battery Metals shares, worth about CA$34m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Does This Data Suggest About International Battery Metals Insiders?

It doesn't really mean much that no insider has traded International Battery Metals shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. Insiders own shares in International Battery Metals and we see no evidence to suggest they are worried about the future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. To that end, you should learn about the 3 warning signs we've spotted with International Battery Metals (including 1 which is a bit concerning).

Of course International Battery Metals 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.