RE: EAS Insider Trading ReportThanks for posting this report, Kevin. It generally seems to provide much of the insider trading activity, although the layout is confusing and lots of numbers seem missing at times (i.e., prices per share; overall cost). I have a quick reaction, two concerns, and some thoughts about insider activity, in general.
First, a reaction. It seems to provide
cumulative buys and sells for the two year period and all of MH's sales together add up to an average sale price of $4. Assuming that's correct, I think that settles that. If he had all this inside information and knew the stock was about to get hit at various times, he'd have gotten much better prices for his shares.
Which brings up my first concern... I'm struggling with the timeline and can't discern
when insiders bought or sold... Can you provide us with the same report using the last six or seven months as the time period? If management knew there were all these struggles ahead and wanted to sell out while the selling was good, I'd expect to see lots of selling just ahead of time. I think it may be illuminating to see all the transactions when EAS had a run up to $8 again and now down to it's current levels.
Second, I'm unsure of the accuracy of some of the report's numbers, in the first place. For example, this reports tells us that Alex Granger bought 3,100 shares in the open market for $3.174--a total outlay of $9,840. I know this is wrong. I spoke with Alex at the PDAC and confirmed his buys. He bought in late January, 2011, when the stock was around $6. Here's a link to Canadian Insider that show these:
https://www.canadianinsider.com/coReport/allTransactions.php?ticker=eas
The report you listed, Kevin, combined the share count of the two buys he made but the cost for only one of them, which produced a much lower cost per share than was actually the case. I hope that doesn't mean other numbers in the report are erroneous.
Last, insider sales can occur for many reasons; they are far from a clear signal. However,
insider buying is clear and unambiguous. As far as I can determine, this calendar year has seen no insider selling, only buying. I know John Wright, and how competent, savvy, and conservative he is; he bought in the open market at $3.88 (on May 31, 2011, according to the Canadian Insider link). That counts for a lot with me; so I've joined him and have been buying over the last month.
Thanks again. I look forward to learning the complete numbers over the last 6-7 months, if someone can provide them.
Cheers!