Usually, when one insider buys stock, it might not be a monumental event. But when multiple insiders are buying like they did in the case of Clean Air Metals Inc. (CVE:AIR), that sends out a positive message to the company's shareholders.

While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

See our latest analysis for Clean Air Metals

Clean Air Metals Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by CEO & Director Abraham Drost for CA$170k worth of shares, at about CA$0.17 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being CA$0.10). Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.

While Clean Air Metals insiders bought shares during the last year, they didn't sell. 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!

Clean Air Metals 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.

Does Clean Air Metals Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Our data suggests Clean Air Metals insiders own 3.8% of the company, worth about CA$842k. I generally like to see higher levels of ownership.

So What Do The Clean Air Metals Insider Transactions Indicate?

It doesn't really mean much that no insider has traded Clean Air Metals shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. While we have no worries about the insider transactions, we'd be more comfortable if they owned more Clean Air Metals stock. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Clean Air Metals. To that end, you should learn about the 5 warning signs we've spotted with Clean Air Metals (including 3 which shouldn't be ignored).

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.

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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