Insiders are buying shares in a mining company, a drilling company and a biotech company

While insider buying tends to slow down when markets are near all-time highs and when earnings reporting season is in full swing, it never seems to completely peter out. Some notable purchases over the last week attest to this. One beneficial owner took advantage of a public offering to increase his stake in a gold and silver miner, while another showed some love for a struggling offshore driller. The CEOs of a biotech company also continued to acquire shares.

Let’s take a quick look at these notable transactions from the last week.

What does insider buying tell us?

A well-known saying reminds us that corporate insiders and 10% owners really only buy shares of a company because they believe the share price will increase and they want to profit from it. Therefore, insider buying can be an encouraging sign for potential investors. This is even more true during times of market uncertainty, and even when markets are near all-time highs.

With the third-quarter earnings reporting season underway, many insiders are prohibited from buying or selling shares. Below are some of the most notable insider purchases reported recently, starting with the biggest and most notable ones.

• Buyer(s): Eric Sprott, 10% owner

• Total shares: almost 7.7 million

• Price per share: $6.50

• Total cost: almost 50.0 million dollars

This transaction was part of a public offering of shares of Hycroft Mining Holding Corp. (NASDAQ: HYMC) that raised approximately $150 million. The Nevada-based miner subsequently announced that it had extinguished all of its remaining debt.

The stock is nearly 88% higher than it was 90 days ago and was last seen trading nearly a dollar per share higher than the buyer’s purchase price. The share price is up 167.6% year over year. The stock has little analyst coverage and no Buy ratings. However, the consensus price target has risen to $13.61.

Note that this Canadian billionaire previously bought $62 million worth of shares this summer.

• Buyer(s): 10% owner of Pilgrim Global ICAV

• Total shares: more than 982,600

• Price per share: $14.18 to $15.82

• Total cost: less than 14.8 million dollars

Shares of Sable Offshore Corp. (NYSE: SOC) recently sank to a 52-week low below $12 as the Houston-based company faces multiple legal and regulatory issues. The stock was last seen trading well below the previous buy price range.

The provider of offshore oil and gas field operations has an average price target of $39.20, which would imply a gain of 207.9% over the next 12 months. All five analysts covering the stock recommend buying shares. Roth Capital recently reiterated its Buy rating.

Note that this buyer’s stake amounts to more than 10.9 million shares. Also note that about 24% of all stocks are shorted.

• Buyer(s): co-executive directors and another director

• Total shares: around 560,300

• Price per share: $18.74

• Total cost: around 10.5 million dollars

These transactions were part of a private placement. Summit Therapeutics Inc. (NASDAQ:SMMT) posted a wider-than-expected loss for the third quarter and the stock fell 8.1% last week. The Miami-based biopharmaceutical company also recently announced expanded Phase 3 trials of its colorectal cancer treatment.

Despite the recent declines, the stock is still up 8.2% year to date and is trading above the previous purchase price. The average price target of $31.80 is below the 52-week high of $36.91, but that target represents a 60.0% gain over the next year. On average, analysts recommend buying shares.

Co-CEOs Bob Duggan and Maky Zanganeh also bought shares last month.

These weren’t the only notable insider purchases last week. Here’s a quick look at some others.

Some smaller insider purchases were also reported recently at Commercial Metals, Denny’s, Fastenal, Fifth Third Bancorp, Heico, Synovus Financial, Toll Brothers and Uber.

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