Stock Analysis

Meitan Tian Buys Handful Of Shares In C&D International Investment Group

Published
SEHK:1908

C&D International Investment Group Limited (HKG:1908) shareholders (or potential shareholders) will be happy to see that the Executive Director, Meitan Tian, recently bought a whopping HK$21m worth of stock, at a price of HK$13.30. There's no denying a buy of that magnitude suggests conviction in a brighter future, although we do note that proportionally it only increased their holding by -688%.

See our latest analysis for C&D International Investment Group

The Last 12 Months Of Insider Transactions At C&D International Investment Group

Over the last year, we can see that the biggest insider purchase was by Executive Director Yong Peng for HK$39m worth of shares, at about HK$17.12 per share. That means that even when the share price was higher than HK$13.44 (the recent price), an insider wanted to purchase shares. 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. We always take careful note of the price insiders pay when purchasing shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price. Notably Yong Peng was also the biggest seller.

Over the last year, we can see that insiders have bought 8.70m shares worth HK$134m. On the other hand they divested 116.00k shares, for HK$2.5m. In the last twelve months there was more buying than selling by C&D International Investment Group insiders. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

SEHK:1908 Insider Trading Volume April 11th 2024

C&D International Investment Group 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

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. C&D International Investment Group insiders own about HK$513m worth of shares. That equates to 2.0% of the company. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

What Might The Insider Transactions At C&D International Investment Group Tell Us?

It's certainly positive to see the recent insider purchases. 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 C&D International Investment Group. Nice! 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. In terms of investment risks, we've identified 2 warning signs with C&D International Investment Group and understanding these should be part of your investment process.

Of course C&D International Investment Group 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.