An Insider At Peijia Medical Lowered Their Holding Recently

Looking at Peijia Medical Limited's (HKG:9996 ) insider transactions over the last year, we can see that insiders were net sellers. That is, there were more number of shares sold by insiders than there were purchased.

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

See our latest analysis for Peijia Medical

The Last 12 Months Of Insider Transactions At Peijia Medical

In the last twelve months, the biggest single sale by an insider was when the Executive Director & Company Secretary, Hong Ye, sold HK$3.1m worth of shares at a price of HK$11.09 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The good news is that this large sale was at well above current price of HK$7.39. So it may not shed much light on insider confidence at current levels. Hong Ye was the only individual insider to sell over the last year.

Hong Ye ditched 1.04m shares over the year. The average price per share was CN¥10.71. 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!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).

Does Peijia Medical Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Peijia Medical insiders own about HK$153m worth of shares. That equates to 3.1% 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.

So What Does This Data Suggest About Peijia Medical Insiders?

It doesn't really mean much that no insider has traded Peijia Medical shares in the last quarter. It's great to see high levels of insider ownership, but looking back over the last year, we don't gain confidence from the Peijia Medical insiders selling. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Peijia Medical. In terms of investment risks, we've identified 1 warning sign with Peijia Medical and understanding this should be part of your investment process.

But note: Peijia Medical 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 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.