We wouldn't blame Chalice Mining Limited (ASX:CHN) shareholders if they were a little worried about the fact that Timothy Rupert Goyder, a company insider, recently netted about AU$17m selling shares at an average price of AU$1.46. That sale reduced their total holding by 28% which is hardly insignificant, but far from the worst we've seen.

See our latest analysis for Chalice Mining

Chalice Mining Insider Transactions Over The Last Year

Notably, that recent sale by Timothy Rupert Goyder is the biggest insider sale of Chalice Mining shares that we've seen in the last year. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is AU$1.37. So it may not shed much light on insider confidence at current levels.

In the last twelve months insiders purchased 1.92m shares for AU$2.3m. But insiders sold 11.83m shares worth AU$17m. 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!

I will like Chalice Mining better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

Does Chalice Mining Boast High Insider Ownership?

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. Insiders own 14% of Chalice Mining shares, worth about AU$74m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Do The Chalice Mining Insider Transactions Indicate?

The insider sales have outweighed the insider buying, at Chalice Mining, in the last three months. Despite some insider buying, the longer term picture doesn't make us feel much more positive. While insiders do own shares, they don't own a heap, and they have been selling. We'd practice some caution before buying! While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. To help with this, we've discovered 2 warning signs (1 is concerning!) that you ought to be aware of before buying any shares in Chalice Mining.

But note: Chalice Mining 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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