Last week, Fidelity Minerals Corp. (CVE:FMN) insiders, who had purchased shares in the previous 12 months were rewarded handsomely. The shares increased by 16% last week, resulting in a CA$2.2m increase in the company's market worth. Put another way, the original CA$125k acquisition is now worth CA$137k.
While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.
Fidelity Minerals Insider Transactions Over The Last Year
Notably, that recent purchase by John Byrne is the biggest insider purchase of Fidelity Minerals shares that we've seen in the last year. So it's clear an insider wanted to buy, at around the current price, which is CA$0.11. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. In this case we're pleased to report that the insider purchases were made at close to current prices.
Fidelity Minerals 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. By clicking on the graph below, you can see the precise details of each insider transaction!
There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).
Fidelity Minerals Insiders Bought Stock Recently
Over the last quarter, Fidelity Minerals insiders have spent a meaningful amount on shares. In total, insiders bought CA$125k worth of shares in that time, and we didn't record any sales whatsoever. That shows some optimism about the company's future.
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. From our data, it seems that Fidelity Minerals insiders own 7.1% of the company, worth about CA$659k. Whilst better than nothing, we're not overly impressed by these holdings.
What Might The Insider Transactions At Fidelity Minerals Tell Us?
It is good to see recent purchasing. We also take confidence from the longer term picture of insider transactions. But we don't feel the same about the fact the company is making losses. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on Fidelity Minerals stock. 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. Case in point: We've spotted 3 warning signs for Fidelity Minerals you should be aware of.
Of course Fidelity Minerals 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, but not derivative transactions.
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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.