Christopher Dail Is The Exploration Manager of Midas Gold Corp. (TSE:MAX) And They Just Sold 100% Of Their Shares

We note that the Midas Gold Corp. (TSE:MAX) Exploration Manager, Christopher Dail, recently sold CA$57k worth of stock for CA$1.14 per share. While that isn't a lot of money, it was a substantial 100% of their holding, so certainly isn't a good sign.

Check out our latest analysis for Midas Gold

The Last 12 Months Of Insider Transactions At Midas Gold

In fact, the recent sale by Exploration Manager Christopher Dail was not their only sale of Midas Gold shares this year. They previously made an even bigger sale of -CA$544k worth of shares at a price of CA$1.55 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is CA$1.04. So it may not tell us anything about how insiders feel about the current share price.

Over the last year, we can see that insiders have bought 152.09k shares worth CA$67k. But insiders sold 716.25k shares worth CA$1.1m. All up, insiders sold more shares in Midas Gold than they bought, over the last year. They sold for an average price of about US$1.48. It is certainly not great to see that insiders have sold shares in the company. But the selling was at much higher prices than the current share price (CA$1.04), so it probably doesn't tell us a lot about the value on offer today. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

I will like Midas Gold better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

Insider Ownership of Midas Gold

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. Our data suggests Midas Gold insiders own 0.5% of the company, worth about CA$2.3m. We prefer to see high levels of insider ownership.

So What Does This Data Suggest About Midas Gold Insiders?

An insider sold stock recently, but they haven't been buying. Zooming out, the longer term picture doesn't give us much comfort. 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 Midas Gold. Be aware that Midas Gold is showing 4 warning signs in our investment analysis, and 1 of those is potentially serious...

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

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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