This Insider Has Just Sold Shares In Wisdom Education International Holdings Company Limited (HKG:6068)

Some Wisdom Education International Holdings Company Limited (HKG:6068) shareholders may be a little concerned to see that the Executive Director, Xuebin Liu, recently sold a substantial HK$8.0m worth of stock at a price of HK$4.22 per share. However, that sale only accounted for 0.2% of their holding, so arguably it doesn't say much about their conviction.

View our latest analysis for Wisdom Education International Holdings

The Last 12 Months Of Insider Transactions At Wisdom Education International Holdings

Notably, that recent sale by Xuebin Liu is the biggest insider sale of Wisdom Education International Holdings shares that we've seen in the last year. That means that an insider was selling shares at around the current price of HK$4.07. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

In the last twelve months insiders purchased 3.55m shares for HK$9.0m. But they sold 1.90m shares for HK$8.0m. In total, Wisdom Education International Holdings insiders bought more than they sold over the last year. Their average price was about HK$2.54. To my mind it is good that insiders have invested their own money in the company. However, we do note that they were buying at significantly lower prices than today's share price. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Wisdom Education International Holdings is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

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 Wisdom Education International Holdings insiders own 69% of the company, worth about HK$6.4b. 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 Do The Wisdom Education International Holdings Insider Transactions Indicate?

An insider sold Wisdom Education International Holdings shares recently, but they didn't buy any. In contrast, they appear keener if you look at the last twelve months. On top of that, insiders own a significant portion of the company. So the recent selling doesn't worry us. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. To assist with this, we've discovered 5 warning signs that you should run your eye over to get a better picture of Wisdom Education International Holdings.

But note: Wisdom Education International Holdings 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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