Have Keytone Dairy Corporation Limited (ASX:KTD) Insiders Been Selling Their Stock?

By
Simply Wall St
Published
June 06, 2021
ASX:HLF
Source: Shutterstock

Anyone interested in Keytone Dairy Corporation Limited (ASX:KTD) should probably be aware that a company insider, Vivienne Cheung, recently divested AU$544k worth of shares in the company, at an average price of AU$0.15 each. That sale was 14% of their holding, so it does make us raise an eyebrow.

Check out our latest analysis for Keytone Dairy

Keytone Dairy Insider Transactions Over The Last Year

In fact, the recent sale by insider Vivienne Cheung was not their only sale of Keytone Dairy shares this year. Earlier in the year, they fetched AU$0.27 per share in a -AU$631k sale. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The good news is that this large sale was at well above current price of AU$0.14. So it may not tell us anything about how insiders feel about the current share price.

Insiders in Keytone Dairy didn't buy any shares in the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

insider-trading-volume
ASX:KTD Insider Trading Volume June 6th 2021

For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership of Keytone Dairy

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. Insiders own 21% of Keytone Dairy shares, worth about AU$8.2m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About Keytone Dairy Insiders?

An insider hasn't bought Keytone Dairy stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. While insiders do own shares, they don't own a heap, and they have been selling. So we'd only buy after careful consideration. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Keytone Dairy. When we did our research, we found 6 warning signs for Keytone Dairy (2 don't sit too well with us!) that we believe deserve your full attention.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

If you’re looking to trade Keytone Dairy, open an account with the lowest-cost* platform trusted by professionals, Interactive Brokers. Their clients from over 200 countries and territories trade stocks, options, futures, forex, bonds and funds worldwide from a single integrated account. Promoted


Discounted cash flow calculation for every stock

Simply Wall St does a detailed discounted cash flow calculation every 6 hours for every stock on the market, so if you want to find the intrinsic value of any company just search here. It’s FREE.

Make Confident Investment Decisions

Simply Wall St's Editorial Team provides unbiased, factual reporting on global stocks using in-depth fundamental analysis.
Find out more about our editorial guidelines and team.