BULGOLD Insiders Recover Some Losses, Which Stand At CA$283k

Insiders who purchased CA$472.1k worth of BULGOLD Inc. (CVE:ZLTO) shares over the past year recouped some of their losses after price gained 71% last week. The purchase, however, has proven to be a pricey bet, with losses currently totalling CA$283k.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

View our latest analysis for BULGOLD

BULGOLD Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by Executive Chairman James Crombie for CA$402k worth of shares, at about CA$0.30 per share. That means that an insider was happy to buy shares at above the current price of CA$0.12. It's very possible they regret the purchase, but it's more likely they are bullish about the company. In our view, the price an insider pays for shares is very important. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

BULGOLD insiders may have bought shares in the last year, but they didn't sell any. The chart below shows insider transactions (by companies and individuals) over the last year. 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).

Insider Ownership Of BULGOLD

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. BULGOLD insiders own about CA$1.0m worth of shares. That equates to 31% 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.

What Might The Insider Transactions At BULGOLD Tell Us?

It doesn't really mean much that no insider has traded BULGOLD shares in the last quarter. On a brighter note, the transactions over the last year are encouraging. Insiders own shares in BULGOLD and we see no evidence to suggest they are worried about the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing BULGOLD. When we did our research, we found 5 warning signs for BULGOLD (4 are a bit unpleasant!) that we believe deserve your full attention.

But note: BULGOLD may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.

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.