Potential Winston Gold Corp. (CNSX:WGC) shareholders may wish to note that the Executive Chairman, Joseph Carrabba, recently bought CA$135k worth of stock, paying CA$0.05 for each share. That’s a very decent purchase to our minds and it grew their holding by a solid 12.2%.
The Last 12 Months Of Insider Transactions At Winston Gold
Notably, that recent purchase by Joseph Carrabba is the biggest insider purchase of Winston Gold shares that we’ve seen in the last year. Even though the purchase was made at a significantly lower price than the recent price (CA$0.14), we still think insider buying is a positive. Because it occurred at a lower valuation, it doesn’t tell us much about whether insiders might find today’s price attractive.
In the last twelve months insiders paid CA$342k for 6.8m shares purchased. While Winston Gold insiders bought shares last year, they didn’t sell. The chart below shows insider transactions (by individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
Does Winston Gold 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. It appears that Winston Gold insiders own 25% of the company, worth about CA$4.3m. We’ve certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
What Might The Insider Transactions At Winston Gold Tell Us?
It is good to see recent purchasing. We also take confidence from the longer term picture of insider transactions. However, we note that the company didn’t make a profit over the last twelve months, which makes us cautious. When combined with notable insider ownership, these factors suggest Winston Gold insiders are well aligned, and that they may think the share price is too low. 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 Winston Gold 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, but not derivative transactions.
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