Insider Spends CA$308k Buying More Shares In Greenheart Gold

Potential Greenheart Gold Inc. (CVE:GHRT) shareholders may wish to note that the Executive Chairman, David Fennell, recently bought CA$308k worth of stock, paying CA$0.60 for each share. While that's a very decent purchase to our minds, it was proportionally a bit modest, boosting their holding by just 8.7%.

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Greenheart Gold Insider Transactions Over The Last Year

Notably, that recent purchase by David Fennell is the biggest insider purchase of Greenheart Gold 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 CA$0.56). Their view may have changed since then, but at least it shows they felt optimistic at the time. We always take careful note of the price insiders pay when purchasing shares. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.

While Greenheart Gold insiders bought shares during the last year, they didn't sell. The average buy price was around CA$0.81. I'd consider this a positive as it suggests insiders see value at around the current price. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

Check out our latest analysis for Greenheart Gold

Greenheart Gold is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.

Does Greenheart Gold Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. Our data suggests Greenheart Gold insiders own 4.3% of the company, worth about CA$5.4m. I generally like to see higher levels of ownership.

So What Does This Data Suggest About Greenheart Gold Insiders?

The recent insider purchases are heartening. We also take confidence from the longer term picture of insider transactions. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that Greenheart Gold insiders are reasonably well aligned, and optimistic for the future. 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. At Simply Wall St, we've found that Greenheart Gold has 4 warning signs (2 can't be ignored!) that deserve your attention before going any further with your analysis.

But note: Greenheart Gold 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 of direct interests only, but not derivative transactions or indirect interests.

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