One Adtiger Corporations Insider Raised Stake By 61% In Previous Year

Looking at Adtiger Corporations Limited's (HKG:1163 ) insider transactions over the last year, we can see that insiders were net buyers. That is, there were more number of shares purchased by insiders than there were sold.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

Check out our latest analysis for Adtiger Corporations

The Last 12 Months Of Insider Transactions At Adtiger Corporations

Over the last year, we can see that the biggest insider purchase was by insider Wei Yang for HK$3.7m worth of shares, at about HK$0.11 per share. That means that an insider was happy to buy shares at around the current price of HK$0.12. That means they have been optimistic about the company in the past, though they may have changed their mind. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. Happily, the Adtiger Corporations insider decided to buy shares at close to current prices. The only individual insider to buy over the last year was Wei Yang.

Wei Yang bought a total of 36.00m shares over the year at an average price of HK$0.11. 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!

There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insider Ownership Of Adtiger Corporations

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Adtiger Corporations insiders own 51% of the company, currently worth about HK$45m based on the recent share price. 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 Adtiger Corporations Insider Transactions Indicate?

The fact that there have been no Adtiger Corporations insider transactions recently certainly doesn't bother us. But insiders have shown more of an appetite for the stock, over the last year. With high insider ownership and encouraging transactions, it seems like Adtiger Corporations insiders think the business has merit. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For example, Adtiger Corporations has 2 warning signs (and 1 which is concerning) we think you should know about.

Of course Adtiger Corporations may not be the best stock to buy. So you may wish to see this free collection of high quality 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.