As Bonterra Energy Inc. sets 52-week lows, chairman and chief executive George Fink is buying. Over the past 90 days, he has spent slightly less than $1-million buying stock in the market. This combination of CEO buying and a falling share price signals that Bonterra could be an investment candidate for value-focused contrarian investors with high risk tolerances. The recent plunge has left the stock with depressed valuations even as revenue is rebounding. That said, it is not unusual for successful contrarian situations to take many months or years to play out.
Ted Dixon is CEO of INK Research which provides insider news and knowledge to investors. For more background on insider reporting in Canada, visit the FAQ section at www.inkresearch.com. Securities referenced in this profile may have already appeared in recent reports distributed to INK subscribers. INK staff may also hold a position in profiled securities.
Chart reflects public-market transactions of common shares or unit trusts by company officers and directors.