Executive Chairman & CEO Jianxin Jin Just Bought A Handful Of Shares In Kwung's Holdings Limited (HKG:1925)

Investors who take an interest in Kwung's Holdings Limited (HKG:1925) should definitely note that the Executive Chairman & CEO, Jianxin Jin, recently paid HK$1.35 per share to buy HK$2.0m worth of the stock. However, it only increased shareholding by a small percentage, and it wasn't a huge purchase by absolute value, either.

View our latest analysis for Kwung's Holdings

Kwung's Holdings Insider Transactions Over The Last Year

In fact, the recent purchase by Jianxin Jin was the biggest purchase of Kwung's Holdings shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is HK$1.39. That means they have been optimistic about the company in the past, though they may have changed their mind. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. The good news for Kwung's Holdings share holders is that an insider was buying at near the current price. The only individual insider to buy over the last year was Jianxin Jin.

Jianxin Jin bought a total of 9.26m shares over the year at an average price of HK$1.13. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Kwung's Holdings is not the only stock that insiders are buying. 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

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. Kwung's Holdings insiders own 56% of the company, currently worth about HK$314m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At Kwung's Holdings Tell Us?

It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. When combined with notable insider ownership, these factors suggest Kwung's Holdings insiders are well aligned, and quite possibly think the share price is too low. Looks promising! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Kwung's Holdings. For instance, we've identified 3 warning signs for Kwung's Holdings (1 is potentially serious) you should be aware of.

Of course Kwung's Holdings 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, but not derivative transactions.

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This article by Simply Wall St is general in nature. 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.
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