Bravo Mining Insiders Make Handsome Sum Selling Stock At US$2.21 Per Share

While Bravo Mining Corp. (CVE:BRVO) shareholders have had a good week with the stock up 20%, insiders can't say the same having sold stock over the past year. They could have sold their shares at much higher prices and gotten a better return on their investment if they had waited.

While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

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The Last 12 Months Of Insider Transactions At Bravo Mining

Over the last year, we can see that the biggest insider sale was by the Executive Vice President of Corporate Development, Alexandre Augusto Penha, for CA$221k worth of shares, at about CA$2.31 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of CA$3.54. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. It is worth noting that this sale was only 15% of Alexandre Augusto Penha's holding. Alexandre Augusto Penha was the only individual insider to sell shares in the last twelve months.

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!

Check out our latest analysis for Bravo Mining

I will like Bravo Mining 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 Of Bravo Mining

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. It's great to see that Bravo Mining insiders own 54% of the company, worth about CA$189m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

What Might The Insider Transactions At Bravo Mining Tell Us?

It doesn't really mean much that no insider has traded Bravo Mining shares in the last quarter. While we feel good about high insider ownership of Bravo Mining, we can't say the same about the selling of shares. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. At Simply Wall St, we've found that Bravo Mining has 4 warning signs (3 are potentially serious!) that deserve your attention before going any further with your analysis.

But note: Bravo 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 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.