Trade Alert: The Lead Independent Director Of Condor Gold Plc (LON:CNR), James Mellon, Has Just Spent UK£2.0m Buying 23% More Shares

Those following along with Condor Gold Plc (LON:CNR) will no doubt be intrigued by the recent purchase of shares by James Mellon, Lead Independent Director of the company, who spent a stonking UK£2.0m on stock at an average price of UK£0.42. Aside from being a solid chunk in its own right, the deft move also saw their holding increase by some 23%.

View our latest analysis for Condor Gold

The Last 12 Months Of Insider Transactions At Condor Gold

In fact, the recent purchase by James Mellon was the biggest purchase of Condor Gold shares made by an insider individual in the last twelve months, according to our records. That implies that an insider found the current price of UK£0.49 per share to be enticing. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. 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. In this case we're pleased to report that the insider purchases were made at close to current prices.

While Condor Gold insiders bought shares during the last year, they didn't sell. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

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

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 26% of Condor Gold shares, worth about UK£16m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Do The Condor Gold Insider Transactions Indicate?

It is good to see recent purchasing. And the longer term insider transactions also give us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. Insiders likely see value in Condor Gold shares, given these transactions (along with notable insider ownership of the company). So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 2 warning signs for Condor Gold you should know about.

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, but not derivative transactions.

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This article by Simply Wall St is general in nature. 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.
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