ASA International Group Stock Down 13% But Insiders Still In US$26k Profit

Insiders who bought ASA International Group PLC (LON:ASAI) in the last 12 months may probably not pay attention to the stock's recent 13% drop. After accounting for the recent loss, the US$132.1k worth of shares they purchased is now worth US$157.8k, suggesting a good return on their investment.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

View our latest analysis for ASA International Group

ASA International Group Insider Transactions Over The Last Year

The CEO & Executive Director Karin Anne Kersten made the biggest insider purchase in the last 12 months. That single transaction was for UK£83k worth of shares at a price of UK£0.62 each. That means that even when the share price was higher than UK£0.60 (the recent price), an insider wanted to purchase shares. Their view may have changed since then, but at least it shows they felt optimistic at the time. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. The only individual insider to buy over the last year was Karin Anne Kersten.

Karin Anne Kersten bought a total of 262.96k shares over the year at an average price of UK£0.50. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

ASA International Group is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Insider Ownership

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. Our data isn't picking up on much insider ownership at ASA International Group, though insiders do hold about UK£179k worth of shares. However, it's possible that insiders might have an indirect interest through a more complex structure. We might be missing something but that seems like very low insider ownership.

What Might The Insider Transactions At ASA International Group Tell Us?

The fact that there have been no ASA International Group insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. We'd like to see bigger individual holdings. However, we don't see anything to make us think ASA International Group insiders are doubting the company. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Case in point: We've spotted 3 warning signs for ASA International Group you should be aware of, and 2 of these are a bit unpleasant.

But note: ASA International Group may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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 of direct interests only, but not derivative transactions or indirect interests.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.