Galilee Energy Limited (ASX:GLL) shareholders (or potential shareholders) will be happy to see that insider Stephen Copulos recently bought a whopping AU$1.0m worth of stock, at a price of AU$0.29. Not only is that a big swing, but it increased their holding size by 28%, which is definitely great to see.

View our latest analysis for Galilee Energy

Galilee Energy Insider Transactions Over The Last Year

Notably, that recent purchase by insider Stephen Copulos was not the only time they traded Galilee Energy shares this year. They previously made a sale of -AU$1.1m worth of shares at a price of AU$0.63 per share. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The silver lining is that this sell-down took place above the latest price (AU$0.36). So it is hard to draw any strong conclusion from it.

Over the last year, we can see that insiders have bought 4.52m shares worth AU$1.3m. But they sold 1.83m shares for AU$1.1m. In total, Galilee Energy insiders bought more than they sold over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date! insider-trading-volume

Galilee Energy is not the only stock that insiders are buying. For those who like to find winning investments this freelist of growing companies with recent insider purchasing, could be just the ticket.

Does Galilee Energy Boast High Insider Ownership?

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. From our data, it seems that Galilee Energy insiders own 8.5% of the company, worth about AU$10m. But they may have an indirect interest through a corporate structure that we haven't picked up on. Whilst better than nothing, we're not overly impressed by these holdings.



What Might The Insider Transactions At Galilee Energy Tell Us?

The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Insiders likely see value in Galilee Energy shares, given these transactions (along with notable insider ownership of the company). While we like knowing 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. When we did our research, we found 5 warning signs for Galilee Energy (2 are significant!) that we believe deserve your full attention.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this freelist 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.