Insider Buying: The Jubilee Metals Group PLC (LON:JLP) CEO & Executive Director Just Bought 1,798% More Shares

Whilst it may not be a huge deal, we thought it was good to see that the Jubilee Metals Group PLC (LON:JLP) CEO & Executive Director, Leon Coetzer, recently bought UK£55k worth of stock, for UK£0.11 per share. Even though that isn't a massive buy, it did increase their holding by 1,798%, which is arguably a good sign.

Check out our latest analysis for Jubilee Metals Group

Jubilee Metals Group Insider Transactions Over The Last Year

In fact, the recent purchase by Leon Coetzer was the biggest purchase of Jubilee Metals Group shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is UK£0.12. 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. The good news for Jubilee Metals Group share holders is that insiders were buying at near the current price.

In the last twelve months Jubilee Metals Group insiders were buying shares, but not selling. The average buy price was around UK£0.086. It is certainly positive to see that insiders have invested their own money in the company. However, we do note that they were buying at significantly lower prices than today's share price. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

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. Jubilee Metals Group insiders own about UK£18m worth of shares. That equates to 6.5% 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 Jubilee Metals Group Tell Us?

The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. When combined with notable insider ownership, these factors suggest Jubilee Metals Group insiders are well aligned, and that they may think the share price is too low. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Jubilee Metals Group. At Simply Wall St, we've found that Jubilee Metals Group has 3 warning signs (1 is a bit concerning!) that deserve your attention before going any further with your analysis.

But note: Jubilee Metals Group 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, 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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