Insiders who purchased China Kepei Education Group Limited (HKG:1890) earlier this year lose an additional CN¥9.2k as the stock sinks to HK$2.80

Simply Wall St

Insiders who acquired CN¥65k worth of China Kepei Education Group Limited's (HKG:1890) stock at an average price of CN¥3.26 in the past 12 months may be dismayed by the recent 7.6% price decline. This is not good as insiders invest based on expectations that their money will appreciate over time. However, as a result of recent losses, their original investment is now worth only CN¥56k.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

See our latest analysis for China Kepei Education Group

The Last 12 Months Of Insider Transactions At China Kepei Education Group

While no particular insider transaction stood out, we can still look at the overall trading.

You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

SEHK:1890 Insider Trading Volume March 15th 2023

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

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. We usually like to see fairly high levels of insider ownership. It's great to see that China Kepei Education Group insiders own 67% of the company, worth about HK$3.8b. 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 China Kepei Education Group Tell Us?

The recent insider purchase is heartening. And the longer term insider transactions also give us confidence. Once you factor in the high insider ownership, it certainly seems like insiders are positive about China Kepei Education Group. Nice! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing China Kepei Education Group. For example - China Kepei Education Group has 1 warning sign we think you should be aware of.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.

Valuation is complex, but we're here to simplify it.

Discover if China Kepei Education Group might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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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.