Warren Hallam Is The Non-Executive Chairman of Kingfisher Mining Limited (ASX:KFM) And They Just Picked Up 12% More Shares

Even if it's not a huge purchase, we think it was good to see that Warren Hallam, the Non-Executive Chairman of Kingfisher Mining Limited (ASX:KFM) recently shelled out AU$100k to buy stock, at AU$0.42 per share. That purchase might not be huge but it did increase their holding by 12%.

Check out our latest analysis for Kingfisher Mining

The Last 12 Months Of Insider Transactions At Kingfisher Mining

In the last twelve months, the biggest single sale by an insider was when the insider, Timothy Neesham, sold AU$543k worth of shares at a price of AU$0.60 per share. That means that even when the share price was below the current price of AU$0.65, an insider wanted to cash in some shares. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. It is worth noting that this sale was only 19% of Timothy Neesham's holding. Timothy Neesham was the only individual insider to sell shares in the last twelve months. Notably Timothy Neesham was also the biggest buyer, having purchased AU$693k worth of shares.

Over the last year, we can see that insiders have bought 1.84m shares worth AU$693k. On the other hand they divested 1.14m shares, for AU$543k. In the last twelve months there was more buying than selling by Kingfisher Mining insiders. They paid about AU$0.38 on average. To my mind it is good that insiders have invested their own money in the company. But we must note that the investments were made at well below today's share price. 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!

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 Of Kingfisher Mining

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 36% of Kingfisher Mining shares, worth about AU$12m. 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 Kingfisher Mining Insider Transactions Indicate?

We note a that there has been a bit of insider buying recently (but no selling). The net investment is not enough to encourage us much. On a brighter note, the transactions over the last year are encouraging. Insiders do have a stake in Kingfisher Mining and their transactions don't cause us concern. 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 4 warning signs for Kingfisher Mining (1 is concerning!) and we strongly recommend you look at these before investing.

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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