37% Of This CK Life Sciences Int'l. (Holdings) Insider's Holdings Were Sold

Looking at CK Life Sciences Int'l., (Holdings) Inc.'s (HKG:775 ) 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 do think it is perfectly logical to keep tabs on what insiders are doing.

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The Last 12 Months Of Insider Transactions At CK Life Sciences Int'l. (Holdings)

Over the last year, we can see that the biggest insider sale was by the President & Executive Director, Hing Lam Kam, for HK$1.3m worth of shares, at about HK$0.55 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of HK$0.97. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. We note that the biggest single sale was only 37% of Hing Lam Kam's holding. The only individual insider seller over the last year was Hing Lam Kam.

You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

Check out our latest analysis for CK Life Sciences Int'l. (Holdings)

I will like CK Life Sciences Int'l. (Holdings) better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

Insider Ownership Of CK Life Sciences Int'l. (Holdings)

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. CK Life Sciences Int'l. (Holdings) insiders own about HK$2.1b worth of shares (which is 22% of the company). I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At CK Life Sciences Int'l. (Holdings) Tell Us?

The fact that there have been no CK Life Sciences Int'l. (Holdings) insider transactions recently certainly doesn't bother us. It's great to see high levels of insider ownership, but looking back over the last year, we don't gain confidence from the CK Life Sciences Int'l. (Holdings) insiders selling. 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. At Simply Wall St, we found 2 warning signs for CK Life Sciences Int'l. (Holdings) that deserve your attention before buying any shares.

Of course CK Life Sciences Int'l. (Holdings) 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.