Orla Mining Independent Non-Executive Director Timothy Haldane Sells 65% Of Holding

Some Orla Mining Ltd. (TSE:OLA) shareholders may be a little concerned to see that the Independent Non-Executive Director, Timothy Haldane, recently sold a substantial CA$745k worth of stock at a price of CA$5.96 per share. Probably the most concerning element of the whole transaction is that the disposal amounted to 65% of their entire holding.

See our latest analysis for Orla Mining

The Last 12 Months Of Insider Transactions At Orla Mining

The Independent Non-Executive Director, Jean Robitaille, made the biggest insider sale in the last 12 months. That single transaction was for CA$1.6m worth of shares at a price of CA$6.48 each. While we don't usually like to see insider selling, it's more concerning if the sales take place 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$5.79. So it may not tell us anything about how insiders feel about the current share price.

Happily, we note that in the last year insiders paid CA$387k for 94.96k shares. But they sold 684.50k shares for CA$4.2m. Over the last year we saw more insider selling of Orla Mining shares, than buying. 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!

If you are like me, then you will not want to miss this free list of small cap stocks that are not only being bought by insiders but also have attractive valuations.

Insider Ownership Of Orla Mining

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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Orla Mining insiders own about CA$208m worth of shares (which is 11% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Do The Orla Mining Insider Transactions Indicate?

An insider sold stock recently, but they haven't been buying. Zooming out, the longer term picture doesn't give us much comfort. It is good to see high insider ownership, but the insider selling leaves us cautious. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Orla Mining. In terms of investment risks, we've identified 1 warning sign with Orla Mining and understanding it should be part of your investment process.

Of course Orla Mining 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.