Velocity Minerals Insider Ups Holding During Year \

From what we can see, insiders were net buyers in Velocity Minerals Ltd.'s (CVE:VLC ) during the past 12 months. That is, insiders acquired the stock in greater numbers than they sold it.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

See our latest analysis for Velocity Minerals

The Last 12 Months Of Insider Transactions At Velocity Minerals

The insider Robert Kopple made the biggest insider purchase in the last 12 months. That single transaction was for CA$81k worth of shares at a price of CA$0.13 each. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of CA$0.15. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Robert Kopple bought 996.50k shares over the last 12 months at an average price of CA$0.17. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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

Insider Ownership

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 21% of Velocity Minerals shares, worth about CA$5.8m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Do The Velocity Minerals Insider Transactions Indicate?

Our data shows a little insider buying, but no selling, in the last three months. Overall the buying isn't worth writing home about. However, our analysis of transactions over the last year is heartening. Overall we don't see anything to make us think Velocity Minerals insiders are doubting the company, and they do own shares. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Velocity Minerals. Case in point: We've spotted 4 warning signs for Velocity Minerals you should be aware of, and 2 of them don't sit too well with us.

Of course Velocity 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.