Lian Huat Loh Bought 8,621% More Shares In Gemdale Properties and Investment

Potential Gemdale Properties and Investment Corporation Limited (HKG:535) shareholders may wish to note that the Non-Executive Director, Lian Huat Loh, recently bought HK$950k worth of stock, paying HK$0.19 for each share. We reckon that's a good sign, especially since the purchase boosted their holding by 8,621%.

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Gemdale Properties and Investment Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the CFO & Executive Director, Chuanjun Wei, sold HK$10m worth of shares at a price of HK$0.35 per share. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. It's of some comfort that this sale was conducted at a price well above the current share price, which is HK$0.20. So it may not tell us anything about how insiders feel about the current share price.

Happily, we note that in the last year insiders paid HK$1.3m for 6.00m shares. But insiders sold 132.31m shares worth HK$47m. Over the last year we saw more insider selling of Gemdale Properties and Investment shares, than buying. The average sell price was around CN¥0.36. It is certainly not great to see that insiders have sold shares in the company. But the selling was at much higher prices than the current share price (HK$0.20), so it probably doesn't tell us a lot about the value on offer today. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

View our latest analysis for Gemdale Properties and Investment

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Insider Ownership

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Gemdale Properties and Investment insiders own 2.6% of the company, worth about HK$84m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

What Might The Insider Transactions At Gemdale Properties and Investment Tell Us?

The stark truth for Gemdale Properties and Investment is that there has been more insider selling than insider buying in the last three months. And our longer term analysis of insider transactions didn't bring confidence, either. While insiders do own shares, they don't own a heap, and they have been selling. So we'd only buy after careful consideration. 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. For instance, we've identified 3 warning signs for Gemdale Properties and Investment (2 are a bit unpleasant) you should be aware of.

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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.