TC Energy Insiders Added CA$9.47m Of Stock To Their Holdings
Over the last year, a good number of insiders have significantly increased their holdings in TC Energy Corporation (TSE:TRP). This is encouraging because it indicates that insiders are more optimistic about the company's prospects.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.
Check out our latest analysis for TC Energy
TC Energy Insider Transactions Over The Last Year
The Director Siim Vanaselja made the biggest insider purchase in the last 12 months. That single transaction was for CA$1.8m worth of shares at a price of CA$45.89 each. We do like to see buying, but this purchase was made at well below the current price of CA$52.38. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.
Happily, we note that in the last year insiders paid CA$9.5m for 197.67k shares. On the other hand they divested 19.19k shares, for CA$1.0m. In the last twelve months there was more buying than selling by TC Energy insiders. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
TC Energy is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.
TC Energy Insiders Are Selling The Stock
There was substantially more insider selling, than buying, of TC Energy shares over the last three months. In total, insiders sold CA$385k worth of shares in that time. Meanwhile insider Jessica Kirstine bought CA$11k worth. Because the selling vastly outweighs the buying, we'd say this is a somewhat bearish sign.
Does TC Energy Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that TC Energy insiders own 0.07% of the company, worth about CA$38m. 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 Does This Data Suggest About TC Energy Insiders?
The insider sales have outweighed the insider buying, at TC Energy, in the last three months. On the other hand, the insider transactions over the last year are encouraging. It's good to see insiders are shareholders. So we're happy enough to look past some selling. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 3 warning signs for TC Energy (of which 2 make us uncomfortable!) you should know about.
But note: TC Energy may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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 of direct interests only, but not derivative transactions or indirect interests.
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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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