Chun-Shun Ko Just Bought 27% More Shares In China Biotech Services Holdings Limited (HKG:8037)

Those following along with China Biotech Services Holdings Limited (HKG:8037) will no doubt be intrigued by the recent purchase of shares by insider Chun-Shun Ko, who spent a stonking HK$10m on stock at an average price of HK$1.34. Aside from being a solid chunk in its own right, the deft move also saw their holding increase by some 27%.

Check out our latest analysis for China Biotech Services Holdings

China Biotech Services Holdings Insider Transactions Over The Last Year

In fact, the recent purchase by Chun-Shun Ko was the biggest purchase of China Biotech Services Holdings shares made by an insider individual in the last twelve months, according to our records. That implies that an insider found the current price of HK$1.41 per share to be enticing. That means they have been optimistic about the company in the past, though they may have changed their mind. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. In this case we're pleased to report that the insider bought shares at close to current prices. Chun-Shun Ko was the only individual insider to buy during the last year.

You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

China Biotech Services 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

For a common shareholder, it is worth checking how many shares are held by company 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 China Biotech Services Holdings insiders own 69% of the company, worth about HK$918m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

What Might The Insider Transactions At China Biotech Services Holdings Tell Us?

The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. When combined with notable insider ownership, these factors suggest China Biotech Services Holdings insiders are well aligned, and quite possibly think the share price is too low. 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. You'd be interested to know, that we found 1 warning sign for China Biotech Services Holdings and we suggest you have a look.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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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This article by Simply Wall St is general in nature. 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.
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