Galaxy Entertainment Group Insider Lowered Holding By 16% During Last Year

From what we can see, insiders were net sellers in Galaxy Entertainment Group Limited's (HKG:27 ) during the past 12 months. That is, insiders sold the stock in greater numbers than they purchased it.

While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

Check out our latest analysis for Galaxy Entertainment Group

Galaxy Entertainment Group Insider Transactions Over The Last Year

The Independent Non-Executive Director, Michael Victor Mecca, made the biggest insider sale in the last 12 months. That single transaction was for HK$7.3m worth of shares at a price of HK$36.65 each. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is HK$32.70. So it is hard to draw any strong conclusion from it. Michael Victor Mecca was the only individual insider to sell shares in the last twelve months.

The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

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Galaxy Entertainment Group Insiders Are Selling The Stock

The last quarter saw substantial insider selling of Galaxy Entertainment Group shares. Specifically, Independent Non-Executive Director Michael Victor Mecca ditched HK$7.3m worth of shares in that time, and we didn't record any purchases whatsoever. In light of this it's hard to argue that all the insiders think that the shares are a bargain.

Insider Ownership Of Galaxy Entertainment Group

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Galaxy Entertainment Group insiders own 3.8% of the company, worth about HK$5.4b. 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 Do The Galaxy Entertainment Group Insider Transactions Indicate?

An insider hasn't bought Galaxy Entertainment Group stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. But since Galaxy Entertainment Group is profitable and growing, we're not too worried by this. It is good to see high insider ownership, but the insider selling leaves us cautious. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Galaxy Entertainment Group. Case in point: We've spotted 1 warning sign for Galaxy Entertainment Group you should be aware of.

But note: Galaxy Entertainment Group 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.