This Insider Has Just Sold Shares In B2Gold

Anyone interested in B2Gold Corp. (TSE:BTO) should probably be aware that the Senior VP of Finance & CFO, Michael Cinnamond, recently divested CA$605k worth of shares in the company, at an average price of CA$6.05 each. That sale was 21% of their holding, so it does make us raise an eyebrow.

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B2Gold Insider Transactions Over The Last Year

The President, Clive Johnson, made the biggest insider sale in the last 12 months. That single transaction was for CA$859k worth of shares at a price of CA$4.30 each. That means that an insider was selling shares at slightly below the current price (CA$6.75). 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. However, while insider selling is sometimes discouraging, it's only a weak signal. It is worth noting that this sale was only 5.6% of Clive Johnson's holding. Notably Clive Johnson was also the biggest buyer, having purchased CA$1.4m worth of shares.

In the last twelve months insiders purchased 348.16k shares for CA$1.4m. But insiders sold 957.02k shares worth CA$4.6m. In total, B2Gold insiders sold more than they bought over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

Check out our latest analysis for B2Gold

I will like B2Gold better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

Insider Ownership

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. B2Gold insiders own about CA$73m worth of shares. That equates to 0.8% of the company. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About B2Gold Insiders?

Insiders haven't bought B2Gold stock in the last three months, but there was some selling. Despite some insider buying, the longer term picture doesn't make us feel much more positive. Insiders own shares, but we're still pretty cautious, given the history of sales. We're in no rush to buy! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing B2Gold. While conducting our analysis, we found that B2Gold has 1 warning sign and it would be unwise to ignore it.

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 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.