Pierre Lassonde of Prime Mining Corp. (CVE:PRYM) Just Spent CA$2.0m On Shares

By
Simply Wall St
Published
July 01, 2021
TSXV:PRYM
Source: Shutterstock

Prime Mining Corp. (CVE:PRYM) shareholders (or potential shareholders) will be happy to see that insider Pierre Lassonde recently bought a whopping CA$2.0m worth of stock, at a price of CA$4.03. There's no denying a buy of that magnitude suggests conviction in a brighter future, although we do note that proportionally it only increased their holding by 5.2%.

View our latest analysis for Prime Mining

The Last 12 Months Of Insider Transactions At Prime Mining

Notably, that recent purchase by insider Pierre Lassonde was not the only time they bought Prime Mining shares this year. Earlier in the year, they paid CA$2.95 per share in a CA$2.3m purchase. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of CA$4.32. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Prime 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 click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

insider-trading-volume
TSXV:PRYM Insider Trading Volume July 1st 2021

Prime Mining is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insider Ownership of Prime 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. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 20% of Prime Mining shares, worth about CA$78m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

What Might The Insider Transactions At Prime Mining Tell Us?

The recent insider purchases are heartening. We also take confidence from the longer term picture of insider transactions. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Insiders likely see value in Prime Mining shares, given these transactions (along with notable insider ownership of the company). In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Prime Mining. Every company has risks, and we've spotted 2 warning signs for Prime Mining you should know about.

Of course Prime Mining 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.

If you're looking for stocks to buy, use the lowest-cost* platform that is rated #1 Overall by Barron’s, Interactive Brokers. Trade stocks, options, futures, forex, bonds and funds on 135 markets, all from a single integrated account. Promoted


This article by Simply Wall St is general in nature. 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.
*Interactive Brokers Rated Lowest Cost Broker by StockBrokers.com Annual Online Review 2020


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

Discounted cash flow calculation for every stock

Simply Wall St does a detailed discounted cash flow calculation every 6 hours for every stock on the market, so if you want to find the intrinsic value of any company just search here. It’s FREE.


Simply Wall St character - Warren

Simply Wall St

Simply Wall St is focused on providing unbiased, high-quality research coverage on every listed company in the world. Our research team consists of data scientists and multiple equity analysts with over two decades worth of financial markets experience between them.