Insider Spends CN¥29m Buying More Shares In Tsaker New Energy Tech

Tsaker New Energy Tech Co., Limited (HKG:1986) shareholders (or potential shareholders) will be happy to see that the Non-Executive Director, Deyuan Pan, recently bought a whopping HK$29m worth of stock, at a price of HK$1.23. That increased their holding by a full 104%, which arguably implies the sort of confidence required for a shy sweet-natured nerd to ask the most popular kid in the school to go out on a date.

View our latest analysis for Tsaker New Energy Tech

Tsaker New Energy Tech Insider Transactions Over The Last Year

In fact, the recent purchase by Deyuan Pan was the biggest purchase of Tsaker New Energy Tech shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at above the current price of HK$1.13. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. To us, it's very important to consider the price insiders pay for shares. As a general rule, we feel more positive about a stock when an insider has bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price. The only individual insider to buy over the last year was Deyuan Pan.

Deyuan Pan bought 23.30m shares over the last 12 months at an average price of HK$1.23. 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!

Tsaker New Energy Tech is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership Of Tsaker New Energy Tech

For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Tsaker New Energy Tech insiders own about HK$628m worth of shares (which is 56% of the company). 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 Tsaker New Energy Tech Insider Transactions Indicate?

It's certainly positive to see the recent insider purchase. 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 Tsaker New Energy Tech. That's what I like to see! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Tsaker New Energy Tech. For instance, we've identified 2 warning signs for Tsaker New Energy Tech (1 shouldn't be ignored) you should be aware of.

But note: Tsaker New Energy Tech 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.