Have Insiders Been Buying Element Lifestyle Retirement Inc. (CVE:ELM) Shares? – Yahoo Finance

It is not uncommon to see companies perform well in the years after insiders buy shares. Unfortunately, there are also plenty of examples of share prices declining precipitously after insiders have sold shares. So we’ll take a look at whether insiders have been buying or selling shares in Element Lifestyle Retirement Inc. (CVE:ELM).

What Is Insider Selling?

It is perfectly legal for company insiders, including board members, to buy and sell stock in a company. However, rules govern insider transactions, and certain disclosures are required.

We would never suggest that investors should base their decisions solely on what the directors of a company have been doing. But it is perfectly logical to keep tabs on what insiders are doing. As Peter Lynch said, ‘insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.’

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View our latest analysis for Element Lifestyle Retirement

Element Lifestyle Retirement Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when Interim CFO Don H. Ho bought CA$200k worth of shares at a price of CA$0.20 per share. So it’s clear an insider wanted to buy, even at a higher price than the current share price (being CA$0.09). It’s very possible they regret the purchase, but it’s more likely they are bullish about the company. To us, it’s very important to consider the price insiders pay for shares is very important. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. Don H. Ho was the only individual insider to buy over the year.

You can see the insider transactions (by 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!

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

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 13% of Element Lifestyle Retirement shares, worth about CA$820k, according to our data. But they may have an indirect interest through a corporate structure that we haven’t picked up on. Whilst better than nothing, we’re not overly impressed by these holdings.

So What Does This Data Suggest About Element Lifestyle Retirement Insiders?

It doesn’t really mean much that no insider has traded Element Lifestyle Retirement shares in the last quarter. On a brighter note, the transactions over the last year are encouraging. The transactions are fine but it’d be more encouraging if Element Lifestyle Retirement insiders bought more shares in the company. I like to dive deeper into how a company has performed in the past. You can access this interactive graph of past earnings, revenue and cash flow for free .