- United Kingdom
- Metals and Mining
Trade Alert: The CEO & Executive Director Of Centamin plc (LON:CEY), Martin Horgan, Has Just Spent US$100k Buying 93% More Shares
Investors who take an interest in Centamin plc (LON:CEY) should definitely note that the CEO & Executive Director, Martin Horgan, recently paid UK£1.01 per share to buy UK£100k worth of the stock. That certainly has us anticipating the best, especially since they thusly increased their own holding by 93%, potentially signalling some real optimism.
Check out our latest analysis for Centamin
The Last 12 Months Of Insider Transactions At Centamin
Notably, that recent purchase by Martin Horgan is the biggest insider purchase of Centamin shares that we've seen in the last year. So it's clear an insider wanted to buy, even at a higher price than the current share price (being UK£1.01). 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. In our view, the price an insider pays for shares is very important. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.
In the last twelve months Centamin insiders were buying shares, but not selling. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
Centamin 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 Centamin
For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 0.4% of Centamin shares, worth about UK£4.1m, according to our data. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!
So What Does This Data Suggest About Centamin Insiders?
It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Centamin insiders are expecting a bright future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For example - Centamin has 2 warning signs we think you should be aware of.
But note: Centamin 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. 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.
Centamin plc engages in the exploration, mining, and development of precious metals in Egypt, Burkina Faso, Côte d’Ivoire, Jersey, the United Kingdom, and Australia.
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