Charles-Armand Turpin of Nouveau Monde Graphite Inc. (CVE:NOU) Just Spent CA$1.0m On Shares

Those following along with Nouveau Monde Graphite Inc. (CVE:NOU) will no doubt be intrigued by the recent purchase of shares by insider Charles-Armand Turpin, who spent a stonking CA$1.0m on stock at an average price of CA$1.45. While that only increased their holding size by 2.7%, it is still a big swing by our standards.

Check out our latest analysis for Nouveau Monde Graphite

The Last 12 Months Of Insider Transactions At Nouveau Monde Graphite

In fact, the recent purchase by Charles-Armand Turpin was the biggest purchase of Nouveau Monde Graphite shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at around the current price of CA$1.53. That means they have been optimistic about the company in the past, though they may have changed their mind. 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. Happily, the Nouveau Monde Graphite insiders decided to buy shares at close to current prices.

In the last twelve months Nouveau Monde Graphite insiders were buying shares, but not selling. 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).

Does Nouveau Monde Graphite Boast High Insider Ownership?

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. Nouveau Monde Graphite insiders own about CA$46m worth of shares. That equates to 10% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The Nouveau Monde Graphite Insider Transactions Indicate?

It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Given that insiders also own a fair bit of Nouveau Monde Graphite we think they are probably pretty confident of a bright future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Nouveau Monde Graphite. Our analysis shows 3 warning signs for Nouveau Monde Graphite (1 is a bit concerning!) 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, but not derivative transactions.

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