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Summary

  • Three insiders purchased Roxgold stock within one month.
  • The stock was sold by no insiders in the month of intensive purchasing.
  • Two of these three insiders increased their holdings by more than 10%.

Roxgold (OTC:ROGFF) acquires, explores, and evaluates mineral properties in Burkina Faso, West Africa.

(click to enlarge)

Insider buying during the last 30 days

Here is a table of Roxgold's insider activity during the last 30 days.

NameTitleTrade DateShares PurchasedProspectusCurrent OwnershipIncrease In Shares
Sarl Anrh10% OwnerMarch 281,216,500No25,079,825 shares+5.1%
Richard ColterjohnDirectorMarch 24500,000Yes3,757,143 shares+15.4%
Oliver Lennox-KingChairmanMarch 25802,000Yes7,439,708 shares+12.1%

There have been 2,518,500 shares purchased by insiders during the last 30 days. Richard Colterjohn and Oliver Lennox-King purchased their shares pursuant to a public offering.

Insider buying by calendar month

Here is a table of Roxgold's insider activity by calendar month.

MonthInsider buying / sharesInsider selling / shares
March 20142,518,5000
February 201400
January 2014225,0000
December 2013726,5650
November 201300
October 201300
September 201300
August 20132,250,0000
July 2013100,0000
June 20132,5000
May 20135,0000
April 201300
March 2013210,3570
February 20131,326,4290
January 201300

There have been 7,364,351 shares purchased, and there have been zero shares sold by insiders since January 2013. The month of March 2014 has seen the most insider buying.

Financials

Roxgold reported the third-quarter financial results on November 25 with the following highlights:

Revenue$0
Net lossC$1.8 million
CashC$14.4 million

On March 25, Roxgold closed a C$29 million financing.

Outlook

During the last quarter of 2013, Roxgold anticipates exploration expenditures will be below first nine month period levels while expenditures on technical and other consultants will increase. As the company's business is mineral exploration, it does not have any revenues and will remain dependent on equity offerings or other sources of funds until such time that it does have significant revenues.

Upcoming milestones

Roxgold commenced work on the Feasibility Study at the end of the third quarter of 2013. SRK (Toronto) and Mintrex (Perth) were appointed to lead the study which is planned for completion in the second quarter of 2014. In addition, critical path field works such as geotechnical and hydrology drilling were commenced on site in September 2013.

(click to enlarge)

(Source: Investor presentation)

Competition

Roxgold's competitors in Burkina Faso include Semafo (OTCPK:SEMFF), and True Gold (OTCQX:RVREF). Here is a table comparing these companies.

CompanyROGFFSEMFFRVREF
Market Cap:141.22M998.28M130.48M
Employees:N/AN/A68
EBITDA:-10.52M77.53M-5.97M
Net Income:-26.70M-6.96M-13.10M
EPS:-0.23-0.32-0.11
P/B:1.062.001.83
Insider Ownership:6%N/A10%

Roxgold has the lowest P/B ratio among these three companies.

Here is a table of these competitors' insider activities this year.

CompanyInsider buying / sharesInsider selling / shares
SEMFF0239,950
RVREF39,324,81187,000

Only Roxgold has seen intensive insider buying during the last 30 days.

Conclusion

There have been three different insiders buying Roxgold, and there have not been any insiders selling Roxgold during the last 30 days. Two of these three insiders increased their holdings by more than 10%. Roxgold has an insider ownership of 6%.

(click to enlarge)

(Source: Investor presentation)

The three insiders purchased their shares at prices ranging from $0.53 (C$0.58) to $0.55 (C$0.6035). I believe Roxgold could be a good pick below $0.55 based on the intensive insider buying.

(click to enlarge)

(Source: Investor presentation)

Editor's Note: This article covers a stock trading at less than $1 per share and/or with less than a $100 million market cap. Please be aware of the risks associated with these stocks.

Source: Roxgold: 3 Different Insiders Have Purchased Shares During The Last 30 Days