Great news for Fidelity Minerals Corp. (CVE:FMN): Insiders acquired stock in large numbers last year

When a single insider purchases stock, it is typically not a major deal. However, when multiple insiders purchase stock, like in Fidelity Minerals Corp.'s (CVE:FMN) instance, it's good news for shareholders.

Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

See our latest analysis for Fidelity Minerals

The Last 12 Months Of Insider Transactions At Fidelity Minerals

In the last twelve months, the biggest single purchase by an insider was when Independent Chairman & Chair of Advisory Board John Byrne bought CA$72k worth of shares at a price of CA$0.10 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being CA$0.08). It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

While Fidelity Minerals insiders bought shares during the last year, they didn't sell. 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!

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

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. From our data, it seems that Fidelity Minerals insiders own 8.4% of the company, worth about CA$578k. Whilst better than nothing, we're not overly impressed by these holdings.

So What Do The Fidelity Minerals Insider Transactions Indicate?

It doesn't really mean much that no insider has traded Fidelity Minerals shares in the last quarter. However, our analysis of transactions over the last year is heartening. The transactions are fine but it'd be more encouraging if Fidelity Minerals insiders bought more shares in the company. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 5 warning signs for Fidelity Minerals (of which 4 are significant!) you should know about.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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, but not derivative transactions.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.

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