Huaqiao Zhang Is The Independent Non-Executive Director of Zhong An Group Limited (HKG:672) And Just Spent CN¥686k On Shares

By
Simply Wall St
Published
August 28, 2021
SEHK:672
Source: Shutterstock

Whilst it may not be a huge deal, we thought it was good to see that the Zhong An Group Limited (HKG:672) Independent Non-Executive Director, Huaqiao Zhang, recently bought HK$686k worth of stock, for HK$0.34 per share. Nevertheless, it only increased their shareholding by a minuscule percentage, and it wasn't a massive purchase by absolute value, either.

See our latest analysis for Zhong An Group

The Last 12 Months Of Insider Transactions At Zhong An Group

In fact, the recent purchase by Huaqiao Zhang was the biggest purchase of Zhong An Group shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at around the current price of HK$0.36. Of course they may have changed their mind. But this suggests they are optimistic. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the Zhong An Group insider decided to buy shares at close to current prices. Huaqiao Zhang was the only individual insider to buy during the last year.

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!

insider-trading-volume
SEHK:672 Insider Trading Volume August 29th 2021

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Does Zhong An Group Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Zhong An Group insiders own 58% of the company, worth about HK$1.2b. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Do The Zhong An Group Insider Transactions Indicate?

It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Zhong An Group. That's what I like to see! While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. For instance, we've identified 2 warning signs for Zhong An Group (1 is a bit unpleasant) you should be aware of.

Of course Zhong An 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, but not derivative transactions.

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