Agnico Eagle Mines Executive VP and Chief Strategy & Technology Officer Jean Robitaille Sells 36% Of Holding

Some Agnico Eagle Mines Limited (NYSE:AEM) shareholders may be a little concerned to see that the Executive VP and Chief Strategy & Technology Officer, Jean Robitaille, recently sold a substantial US$2.8m worth of stock at a price of US$139 per share. That sale reduced their total holding by 36% which is hardly insignificant, but far from the worst we've seen.

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Agnico Eagle Mines Insider Transactions Over The Last Year

In fact, the recent sale by Jean Robitaille was the biggest sale of Agnico Eagle Mines shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to take some cash off the table, even below the current price of US$149. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. We note that the biggest single sale was only 36% of Jean Robitaille's holding.

Insiders in Agnico Eagle Mines didn't buy any shares in the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

See our latest analysis for Agnico Eagle Mines

I will like Agnico Eagle Mines better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

Insider Ownership Of Agnico Eagle Mines

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Insiders own 0.09% of Agnico Eagle Mines shares, worth about US$65m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The Agnico Eagle Mines Insider Transactions Indicate?

Insiders haven't bought Agnico Eagle Mines stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. But it is good to see that Agnico Eagle Mines is growing earnings. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! 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. Our analysis shows 2 warning signs for Agnico Eagle Mines (1 is a bit unpleasant!) and we strongly recommend you look at them before investing.

Of course Agnico Eagle Mines 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.

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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.