Wishpond Technologies Up 12%, But Some Insiders Miss Out

Last week, Wishpond Technologies Ltd.'s (CVE:WISH) stock jumped 12%, but insiders who sold CA$203k worth of stock in over the past year are likely to be in a better position. Holding on to stock would have meant their investment would be worth less now than it was at the time of sale. Thus selling at an average price of CA$0.40, which is higher than the current price, may have been the best decision.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Wishpond Technologies

The Last 12 Months Of Insider Transactions At Wishpond Technologies

Over the last year, we can see that the biggest insider sale was by the General Manager of PersistIQ, Nicholas Steeves, for CA$200k worth of shares, at about CA$0.40 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (CA$0.29). So it may not shed much light on insider confidence at current levels. The only individual insider seller over the last year was Nicholas Steeves.

Nicholas Steeves sold a total of 507.71k shares over the year at an average price of CA$0.40. 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!

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Insider Ownership Of Wishpond Technologies

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. It appears that Wishpond Technologies insiders own 39% of the company, worth about CA$6.0m. 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 Does This Data Suggest About Wishpond Technologies Insiders?

It doesn't really mean much that no insider has traded Wishpond Technologies shares in the last quarter. Our analysis of Wishpond Technologies insider transactions leaves us cautious. But it's good to see that insiders own shares in the company. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. For example - Wishpond Technologies has 1 warning sign we think you should be aware of.

But note: Wishpond Technologies 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.