NevGold Insider Buyers Net CA$57k Despite 12% Stock Decline

Insiders who bought NevGold Corp. (CVE:NAU) in the last 12 months may probably not pay attention to the stock's recent 12% drop. After taking the recent loss into consideration, the CA$339.1k worth of stock they bought is now worth CA$396.3k, indicating that their investment yielded a positive return.

Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

View our latest analysis for NevGold

The Last 12 Months Of Insider Transactions At NevGold

Over the last year, we can see that the biggest insider purchase was by Non-Executive Chairman of the Board Giulio Bonifacio for CA$100k worth of shares, at about CA$0.32 per share. We do like to see buying, but this purchase was made at well below the current price of CA$0.37. 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.

In the last twelve months NevGold insiders were buying shares, but not selling. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.

Insider Ownership Of NevGold

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. Insiders own 11% of NevGold shares, worth about CA$4.0m, according to our data. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!

So What Does This Data Suggest About NevGold Insiders?

The fact that there have been no NevGold insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. The transactions are fine but it'd be more encouraging if NevGold insiders bought more shares in the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing NevGold. Our analysis shows 5 warning signs for NevGold (3 are potentially serious!) and we strongly recommend you look at them before investing.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.

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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.

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