Insider Buys Additional CN¥2.3m In Zall Smart Commerce Group Stock

Investors who take an interest in Zall Smart Commerce Group Ltd. (HKG:2098) should definitely note that the Founder, Zhi Yan, recently paid HK$0.40 per share to buy HK$2.3m worth of the stock. However, it only increased shareholding by a small percentage, and it wasn't a huge purchase by absolute value, either.

Check out our latest analysis for Zall Smart Commerce Group

The Last 12 Months Of Insider Transactions At Zall Smart Commerce Group

In fact, the recent purchase by Zhi Yan was the biggest purchase of Zall Smart Commerce Group shares made by an insider individual in the last twelve months, according to our records. That means that even when the share price was higher than HK$0.34 (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. In our view, the price an insider pays for shares is very important. It is encouraging to see an insider paid above the current price for shares, as it suggests they saw value, even at higher levels. The only individual insider to buy over the last year was Zhi Yan.

Zhi Yan purchased 14.06m shares over the year. The average price per share was HK$0.36. 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!

Zall Smart Commerce Group is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insider Ownership

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Zall Smart Commerce Group insiders own 71% of the company, currently worth about HK$3.0b based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Does This Data Suggest About Zall Smart Commerce Group Insiders?

It is good to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. But we don't feel the same about the fact the company is making losses. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Zall Smart Commerce Group. That's what I like to see! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Zall Smart Commerce Group. You'd be interested to know, that we found 2 warning signs for Zall Smart Commerce Group and we suggest you have a look.

Of course Zall Smart Commerce Group may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.