Insider Buyers At VSBLTY Groupe Technologies Likely Disappointed With 15% Slide

The recent price decline of 15% in VSBLTY Groupe Technologies Corp.'s (CSE:VSBY) stock may have disappointed insiders who bought US$1.29m worth of shares at an average price of US$0.14 in the past 12 months. Insiders invest with the hopes of seeing their money grow in value over time. However, as a result of recent losses, their initial investment is now only worth US$810.3k, which is not what they expected.

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

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VSBLTY Groupe Technologies Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when insider Ghulam Tarar bought CA$1.3m worth of shares at a price of CA$0.14 per share. That means that an insider was happy to buy shares at above the current price of CA$0.085. It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. It is encouraging to see an insider paid above the current price for shares, as it suggests they saw value, even at higher levels. Ghulam Tarar was the only individual insider to buy shares in the last twelve months.

You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Check out our latest analysis for VSBLTY Groupe Technologies

There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).

Does VSBLTY Groupe Technologies Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It's great to see that VSBLTY Groupe Technologies insiders own 93% of the company, worth about CA$7.0m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Does This Data Suggest About VSBLTY Groupe Technologies Insiders?

The fact that there have been no VSBLTY Groupe Technologies insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. Judging from their transactions, and high insider ownership, VSBLTY Groupe Technologies insiders feel good about the company's future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing VSBLTY Groupe Technologies. When we did our research, we found 7 warning signs for VSBLTY Groupe Technologies (5 are a bit unpleasant!) that we believe deserve your full attention.

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.