The Founder of Cabbeen Fashion Limited (HKG:2030), Ziming Yang, Just Bought A Few More Shares

Potential Cabbeen Fashion Limited (HKG:2030) shareholders may wish to note that the Founder, Ziming Yang, recently bought HK$3.0m worth of stock, paying HK$2.98 for each share. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.

View our latest analysis for Cabbeen Fashion

Cabbeen Fashion Insider Transactions Over The Last Year

In fact, the recent purchase by Founder Ziming Yang was not their only acquisition of Cabbeen Fashion shares this year. They previously made an even bigger purchase of HK$7.1m worth of shares at a price of HK$1.96 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of HK$3.17. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

Ziming Yang bought a total of 19.72m shares over the year at an average price of HK$2.10. 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!

Cabbeen Fashion 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.

Does Cabbeen Fashion Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It's great to see that Cabbeen Fashion insiders own 60% of the company, worth about HK$1.3b. 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 Cabbeen Fashion Insiders?

It's certainly positive 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 Cabbeen Fashion insiders are well aligned, and quite possibly think the share price is too low. That's what I like to see! While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Be aware that Cabbeen Fashion is showing 3 warning signs in our investment analysis, and 1 of those is concerning...

But note: Cabbeen Fashion 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, 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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