Trade Alert: The Founder Of Osisko Mining Inc. (TSE:OSK), John Burzynski, Has Just Spent CA$119k Buying 1.9% More Shares

By
Simply Wall St
Published
January 21, 2022
TSX:OSK
Source: Shutterstock

Whilst it may not be a huge deal, we thought it was good to see that the Osisko Mining Inc. (TSE:OSK) Founder, John Burzynski, recently bought CA$119k worth of stock, for CA$3.96 per share. Although the purchase is not a big one, increasing their shareholding by only 1.9%, it can be interpreted as a good sign.

View our latest analysis for Osisko Mining

Osisko Mining Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when Non-Executive Director Robert Wares bought CA$158k worth of shares at a price of CA$3.15 per share. Even though the purchase was made at a significantly lower price than the recent price (CA$4.23), we still think insider buying is a positive. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.

Osisko Mining insiders may have bought shares in the last year, but they didn't sell any. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

insider-trading-volume
TSX:OSK Insider Trading Volume January 21st 2022

Osisko Mining is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Does Osisko Mining Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company 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. It appears that Osisko Mining insiders own 2.7% of the company, worth about CA$39m. 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 Do The Osisko Mining Insider Transactions Indicate?

The recent insider purchase is heartening. 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 Osisko Mining insiders are well aligned, and that they may think the share price is too low. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. For instance, we've identified 4 warning signs for Osisko Mining (2 shouldn't be ignored) you should be aware of.

But note: Osisko Mining may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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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