It is usually uneventful when a single insider buys stock. However, When quite a few insiders buy shares, as it happened in Whitehorse Gold Corp.'s (CVE:WHG) case, it's fantastic news for shareholders.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

Check out our latest analysis for Whitehorse Gold

Whitehorse Gold Insider Transactions Over The Last Year

Notably, that recent sale by Yong-Jae Kim is the biggest insider sale of Whitehorse Gold shares that we've seen in the last year. So it's clear an insider wanted to take some cash off the table, even slightly below the current price of CA$0.53. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. This single sale was 100% of Yong-Jae Kim's stake.

Over the last year, we can see that insiders have bought 165.50k shares worth CA$88k. On the other hand they divested 141.05k shares, for CA$79k. In the last twelve months there was more buying than selling by Whitehorse Gold insiders. 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!

Whitehorse Gold 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.

Are Whitehorse Gold Insiders Buying Or Selling?

In the last quarter there were insider sales totalling CA$69k. However that only slightly eclipses the CA$63k worth of purchases. Looking at the net result, we don't think this recent trading sheds much light on how insiders, as a group, are feeling about the company's prospects.

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. From our data, it seems that Whitehorse Gold insiders own 9.7% of the company, worth about CA$2.7m. Whilst better than nothing, we're not overly impressed by these holdings.

What Might The Insider Transactions At Whitehorse Gold Tell Us?

Insider selling has just outweighed insider buying in the last three months. But the net divestment is not enough to concern us at all. But insiders have shown more of an appetite for the stock, over the last year. We'd like to see bigger individual holdings. However, we don't see anything to make us think Whitehorse Gold insiders are doubting the company. 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 help with this, we've discovered 4 warning signs (1 is a bit unpleasant!) that you ought to be aware of before buying any shares in Whitehorse Gold.

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.

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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.