Kai Bong Lo Just Bought 2.8% More Shares In Guangdong Join-Share Financing Guarantee Investment Co., Ltd. (HKG:1543)

Investors who take an interest in Guangdong Join-Share Financing Guarantee Investment Co., Ltd. (HKG:1543) should definitely note that insider Kai Bong Lo recently paid HK$1.29 per share to buy HK$2.6m worth of the stock. Although the purchase only increased their holding by 2.8%, it is still a solid purchase in our view.

View our latest analysis for Guangdong Join-Share Financing Guarantee Investment

Guangdong Join-Share Financing Guarantee Investment Insider Transactions Over The Last Year

The insider, Zhi Jian Wu, made the biggest insider sale in the last 12 months. That single transaction was for HK$3.0m worth of shares at a price of HK$1.50 each. So we know that an insider sold shares at around the present share price of HK$1.28. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive). Zhi Jian Wu was the only individual insider to sell shares in the last twelve months. Notably Zhi Jian Wu was also the biggest buyer, having purchased HK$15m worth of shares.

In the last twelve months insiders purchased 11.56m shares for HK$15m. But insiders sold 3.31m shares worth HK$4.6m. In the last twelve months there was more buying than selling by Guangdong Join-Share Financing Guarantee Investment insiders. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are 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. Insiders own 20% of Guangdong Join-Share Financing Guarantee Investment shares, worth about HK$406m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Do The Guangdong Join-Share Financing Guarantee Investment Insider Transactions Indicate?

It's certainly positive to see the recent insider purchases. 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 Guangdong Join-Share Financing Guarantee Investment. Looks promising! 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. In terms of investment risks, we've identified 1 warning sign with Guangdong Join-Share Financing Guarantee Investment and understanding this should be part of your investment process.

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, but not derivative transactions.

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