Insider Buyers Lose Additional CN¥2.1m As Jacobio Pharmaceuticals Group Dips To HK$1.1b

The recent 11% drop in Jacobio Pharmaceuticals Group Co., Ltd.'s (HKG:1167) stock could come as a blow to insiders who purchased CN¥3.05m worth of stock at an average buy price of CN¥4.57 over the past 12 months. Insiders purchase with the hope of seeing their investments increase in value over time. However, due to recent losses, their initial investment is now only worth CN¥968.7k, which is not great.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

Check out our latest analysis for Jacobio Pharmaceuticals Group

The Last 12 Months Of Insider Transactions At Jacobio Pharmaceuticals Group

In the last twelve months, the biggest single purchase by an insider was when Executive Chairman & CEO Yinxiang Wang bought HK$1.0m worth of shares at a price of HK$6.69 per share. That means that an insider was happy to buy shares at above the current price of HK$1.45. Their view may have changed since then, but at least it shows they felt optimistic at the time. In our view, the price an insider pays for shares is very important. It is encouraging to see an insider paid above the current price for shares, as it suggests they saw value, even at higher levels. Yinxiang Wang was the only individual insider to buy during the last year.

Yinxiang Wang bought a total of 668.10k shares over the year at an average price of HK$4.57. 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!

Jacobio Pharmaceuticals Group 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. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Jacobio Pharmaceuticals Group insiders own 19% of the company, worth about HK$223m. 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 Jacobio Pharmaceuticals Group Insider Transactions Indicate?

The fact that there have been no Jacobio Pharmaceuticals Group insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. Judging from their transactions, and high insider ownership, Jacobio Pharmaceuticals Group insiders feel good about the company's future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Jacobio Pharmaceuticals Group. At Simply Wall St, we found 1 warning sign for Jacobio Pharmaceuticals Group that deserve your attention before buying any shares.

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 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.