Café de Coral Holdings Executive Director Acquires 2.9% More Stock

Café de Coral Holdings Limited (HKG:341) shareholders (or potential shareholders) will be happy to see that the Executive Director, Tak-Shing Lo, recently bought a whopping HK$20m worth of stock, at a price of HK$7.17. While that only increased their holding size by 2.9%, it is still a big swing by our standards.

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Café de Coral Holdings Insider Transactions Over The Last Year

Notably, that recent purchase by Tak-Shing Lo is the biggest insider purchase of Café de Coral Holdings shares that we've seen in the last year. So it's clear an insider wanted to buy, at around the current price, which is HK$7.30. 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. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. In this case we're pleased to report that the insider bought shares at close to current prices. Tak-Shing Lo was the only individual insider to buy during the last year.

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!

Check out our latest analysis for Café de Coral Holdings

Café de Coral Holdings 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 Café de Coral Holdings Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Café de Coral Holdings insiders own 46% of the company, currently worth about HK$1.9b based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Do The Café de Coral Holdings Insider Transactions Indicate?

It is good to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Café de Coral Holdings. Nice! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Café de Coral Holdings. To assist with this, we've discovered 2 warning signs that you should run your eye over to get a better picture of Café de Coral Holdings.

Of course Café de Coral Holdings may not be the best stock to buy. So you may wish to see this free collection of high quality 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 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.