GREY:AVGCF - Post by User
Comment by
nijinsky70on Apr 22, 2011 8:28pm
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Post# 18475947
RE: RE: Today's #1 TSX insider buying stock..again
RE: RE: Today's #1 TSX insider buying stock..againIt looks to me that all the recent waves of insider buying are executed by its large shareholders, or a single large shareholder. Likely Sprott who according to the the company's Fact Sheet owns about 17% of AVR (hence it qualifies as an insider under the rules). All the director and officer transactions of late are from exercising their options (at about $.30 a share) and then turn around and flip them at market (at about $1.50), always right away on the same day.
I know insider buying is good, but why would Sprott (presumably it's them) buy so much AVR? Sometime the insider buys accounted for almost half of the daily transactions!! Sprott has a vested interest in AVR so they always include AVR in their clients' buys. That I can understand. I just wonder if Sprott's purchases for its retail clients are incorrectly counted as part of the insider buys? Usually if real insiders are buying that many shares and for so that long, SP should have skyrocketed, but as we all know AVR's SP has been very flat.
Anyone has a view on that possibility?