One Beauty Farm Medical and Health Industry Insider Raised Stake By 103% In Previous Year

Looking at Beauty Farm Medical and Health Industry Inc.'s (HKG:2373 ) insider transactions over the last year, we can see that insiders were net buyers. That is, there were more number of shares purchased by insiders than there were sold.

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.

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The Last 12 Months Of Insider Transactions At Beauty Farm Medical and Health Industry

Over the last year, we can see that the biggest insider purchase was by Non Executive Director Lin Yi for HK$986k worth of shares, at about HK$31.82 per share. That means that an insider was happy to buy shares at above the current price of HK$28.98. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. In our view, the price an insider pays for shares is very important. 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. Lin Yi was the only individual insider to buy during the last year.

Lin Yi purchased 61.00k shares over the year. The average price per share was HK$30.84. 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!

Check out our latest analysis for Beauty Farm Medical and Health Industry

Beauty Farm Medical and Health Industry is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Does Beauty Farm Medical and Health Industry Boast High 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. A high insider ownership often makes company leadership more mindful of shareholder interests. It's great to see that Beauty Farm Medical and Health Industry insiders own 34% of the company, worth about HK$2.3b. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Does This Data Suggest About Beauty Farm Medical and Health Industry Insiders?

The recent insider purchase is heartening. And the longer term insider transactions also give us confidence. When combined with notable insider ownership, these factors suggest Beauty Farm Medical and Health Industry insiders are well aligned, and quite possibly think the share price is too low. Nice! Of course, the future is what matters most. So if you are interested in Beauty Farm Medical and Health Industry, you should check out this free report on analyst forecasts for the company.

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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.