Insiders Buying Condor Gold Might Wish They Invested More, Stock Gains 12%

Insiders who bought Condor Gold Plc (LON:CNR) stock in the last 12 months were richly rewarded last week. The company's market value increased by UK£5.5m as a result of the stock's 12% gain over the same period. Put another way, the original UK£77.7k acquisition is now worth UK£109.4k.

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 Condor Gold

Condor Gold Insider Transactions Over The Last Year

The CEO & Director Mark Child made the biggest insider purchase in the last 12 months. That single transaction was for UK£62k worth of shares at a price of UK£0.24 each. That implies that an insider found the current price of UK£0.26 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. Happily, the Condor Gold insiders decided to buy shares at close to current prices.

Condor Gold insiders may have bought shares in the last year, but they didn't sell any. Their average price was about UK£0.18. To my mind it is good that insiders have invested their own money in the company. However, you should keep in mind that they bought when the share price was meaningfully below today's levels. 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!

Condor Gold 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 Condor Gold

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 Condor Gold insiders own 29% of the company, worth about UK£15m. 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 Condor Gold Tell Us?

There haven't been any insider transactions in the last three months -- that doesn't mean much. On a brighter note, the transactions over the last year are encouraging. Insiders do have a stake in Condor Gold and their transactions don't cause us concern. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Condor Gold. Case in point: We've spotted 7 warning signs for Condor Gold you should be aware of, and 3 of them are a bit concerning.

Of course Condor Gold 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 of direct interests only, but not derivative transactions or indirect interests.

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

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.