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Potential The Western Investment Company of Canada Limited (CVE:WI) shareholders may wish to note that the Independent Director, Kabir Jivraj, recently bought CA$250k worth of stock, paying CA$0.40 for each share. That's a very decent purchase to our minds and it grew their holding by a solid 38%.
Check out our latest analysis for Western Investment Company of Canada
The Last 12 Months Of Insider Transactions At Western Investment Company of Canada
Notably, that recent purchase by Kabir Jivraj is the biggest insider purchase of Western Investment Company of Canada shares that we've seen in the last year. Even though the purchase was made at a significantly lower price than the recent price (CA$0.47), we still think insider buying is a positive. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.
Does Western Investment Company of Canada Boast High Insider Ownership?
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Western Investment Company of Canada insiders own 43% of the company, currently worth about CA$11m based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Do The Western Investment Company of Canada Insider Transactions Indicate?
It's certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Western Investment Company of Canada. One for the watchlist, at least! 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. To that end, you should learn about the 3 warning signs we've spotted with Western Investment Company of Canada (including 1 which is potentially serious).