Stock Analysis

One CBK Holdings Insider Raised Stake By 27% In Previous Year

SEHK:8428
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Insiders were net buyers of CBK Holdings Limited's (HKG:8428 ) stock during the past year. That is, insiders bought more stock than they sold.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

View our latest analysis for CBK Holdings

The Last 12 Months Of Insider Transactions At CBK Holdings

Over the last year, we can see that the biggest insider purchase was by insider Ping Zuo for HK$7.4m worth of shares, at about HK$1.23 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being HK$0.75). It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. 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. Ping Zuo was the only individual insider to buy during the last year. We note that Ping Zuo was both the biggest buyer and the biggest seller.

Ping Zuo bought 19.95m shares over the last 12 months at an average price of HK$0.80. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

insider-trading-volume
SEHK:8428 Insider Trading Volume March 22nd 2024

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

Does CBK Holdings Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. CBK Holdings insiders own about HK$21m worth of shares. That equates to 25% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

What Might The Insider Transactions At CBK Holdings Tell Us?

It doesn't really mean much that no insider has traded CBK Holdings shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. Insiders own shares in CBK Holdings and we see no evidence to suggest they are worried about the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing CBK Holdings. To help with this, we've discovered 4 warning signs (2 are a bit unpleasant!) that you ought to be aware of before buying any shares in CBK Holdings.

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 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.