Yahoo Finance A West Fraser Timber Co. Ltd. (TSE:WFG) insider increased their holdings by 27% last year
Looking at West Fraser Timber Co. Ltd.'s (TSE:WFG ) insider transactions over the last year, we can see that insiders were net buyers. That is, there were more number of shares purchased by insiders than there were sold.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.
View our latest analysis for West Fraser Timber
The Last 12 Months Of Insider Transactions At West Fraser Timber
In the last twelve months, the biggest single purchase by an insider was when insider Kevin Burke bought CA$265k worth of shares at a price of CA$103 per share. That means that an insider was happy to buy shares at around the current price of CA$104. 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. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. In this case we're pleased to report that the insider bought shares at close to current prices. Kevin Burke was the only individual insider to buy shares in the last twelve months.
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!
West Fraser Timber is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
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. We usually like to see fairly high levels of insider ownership. West Fraser Timber insiders own 1.7% of the company, currently worth about CA$152m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
So What Do The West Fraser Timber Insider Transactions Indicate?
The fact that there have been no West Fraser Timber insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. Judging from their transactions, and high insider ownership, West Fraser Timber insiders feel good about the company's future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing West Fraser Timber. Case in point: We've spotted 1 warning sign for West Fraser Timber 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, but not derivative transactions.
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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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