Jianxin Jin Bought 4.8% More Shares In Kwung's Holdings

Kwung's Holdings Limited (HKG:1925) shareholders (or potential shareholders) will be happy to see that the Executive Chairman & CEO, Jianxin Jin, recently bought a whopping HK$15m worth of stock, at a price of HK$1.30. While that only increased their holding size by 4.8%, it is still a big swing by our standards.

Check out our latest analysis for Kwung's Holdings

Kwung's Holdings Insider Transactions Over The Last Year

Notably, that recent purchase by Executive Chairman & CEO Jianxin Jin was not the only time they bought Kwung's Holdings shares this year. Earlier in the year, they paid HK$1.90 per share in a HK$20m purchase. That means that even when the share price was higher than HK$1.24 (the recent price), an insider wanted to purchase shares. It's very possible they regret the purchase, but it's more likely they are bullish about the company. To us, it's very important to consider the price insiders pay for 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 Jianxin Jin.

Jianxin Jin bought 22.21m shares over the last 12 months at an average price of HK$1.59. 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!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Insider Ownership

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It's great to see that Kwung's Holdings insiders own 59% of the company, worth about HK$297m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

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

It's certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives 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. Nice! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Kwung's Holdings. Case in point: We've spotted 1 warning sign for Kwung's Holdings you should be aware of.

But note: Kwung's Holdings 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.