MAG Silver Insider Lowered Holding By 22% During Last Year

Looking at MAG Silver Corp.'s (TSE:MAG ) insider transactions over the last year, we can see that insiders were net sellers. That is, there were more number of shares sold by insiders than there were purchased.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for MAG Silver

MAG Silver Insider Transactions Over The Last Year

Notably, that recent sale by George Paspalas is the biggest insider sale of MAG Silver shares that we've seen in the last year. So we know that an insider sold shares at around the present share price of CA$19.95. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

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MAG Silver Insiders Are Selling The Stock

The last three months saw significant insider selling at MAG Silver. In total, President George Paspalas dumped CA$1.1m worth of shares in that time, and we didn't record any purchases whatsoever. This may suggest that some insiders think that the shares are not cheap.

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. I reckon it's a good sign if insiders own a significant number of shares in the company. Our data indicates that MAG Silver insiders own about CA$9.6m worth of shares (which is 0.5% of the company). Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!

What Might The Insider Transactions At MAG Silver Tell Us?

An insider sold MAG Silver shares recently, but they didn't buy any. Zooming out, the longer term picture doesn't give us much comfort. But since MAG Silver is profitable and growing, we're not too worried by this. When you consider that most companies have higher levels of insider ownership, we're a little wary. So we're not rushing to buy, to say the least. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing MAG Silver. Be aware that MAG Silver is showing 3 warning signs in our investment analysis, and 2 of those don't sit too well with us...

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.