Reversal Of Fortune For Pantheon Resources Insiders Who Made A US$727.9k Purchase
Some of the losses seen by insiders who purchased US$727.9k worth of Pantheon Resources Plc (LON:PANR) shares over the past year were recovered after the stock increased by 10% over the past week. However, total losses seen by insiders are still US$138k since the time of purchase.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.
Pantheon Resources Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when Non-Executive Chairman of Board Michael Spencer bought UK£728k worth of shares at a price of UK£0.15 per share. That means that an insider was happy to buy shares at above the current price of 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. To us, it's very important to consider the price insiders pay for shares. It is encouraging to see an insider paid above the current price for shares, as it suggests they saw value, even at higher levels. Michael Spencer was the only individual insider to buy during the last year.
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!
Check out our latest analysis for Pantheon Resources
Pantheon Resources is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.
Does Pantheon Resources Boast High Insider Ownership?
Many investors like to check how much of a company is owned by 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. Based on our data, Pantheon Resources insiders have about 1.3% of the stock, worth approximately UK£2.3m. I generally like to see higher levels of ownership.
What Might The Insider Transactions At Pantheon Resources Tell Us?
The fact that there have been no Pantheon Resources insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. The transactions are fine but it'd be more encouraging if Pantheon Resources insiders bought more shares in the company. 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. Case in point: We've spotted 3 warning signs for Pantheon Resources you should be aware of.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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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