Shareholders Can't Ignore HK$70m Of Sales By Apollo Future Mobility Group Insiders

Despite the fact that Apollo Future Mobility Group Limited (HKG:860) stock rose 15% last week, insiders who sold HK$70m worth of stock in the previous 12 months are likely to be better off. Selling at an average price of HK$1.20, which is higher than the current price, may have been the wisest decision for these insiders as their investment would have been worth less now than when they sold.

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.

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The Last 12 Months Of Insider Transactions At Apollo Future Mobility Group

In the last twelve months, the biggest single sale by an insider was when the insider, Wa Fan Hoi, sold HK$40m worth of shares at a price of HK$1.20 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$0.86. So it is hard to draw any strong conclusion from it. Wa Fan Hoi was the only individual insider to sell shares in the last twelve months.

Wa Fan Hoi divested 58.33m shares over the last 12 months at an average price of HK$1.20. 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!

Check out our latest analysis for Apollo Future Mobility Group

I will like Apollo Future Mobility Group 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.

Does Apollo Future Mobility Group Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Apollo Future Mobility Group insiders own about HK$212m worth of shares. That equates to 24% of the company. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Do The Apollo Future Mobility Group Insider Transactions Indicate?

It doesn't really mean much that no insider has traded Apollo Future Mobility Group shares in the last quarter. It's great to see high levels of insider ownership, but looking back over the last year, we don't gain confidence from the Apollo Future Mobility Group 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. Every company has risks, and we've spotted 1 warning sign for Apollo Future Mobility Group you should know about.

But note: Apollo Future Mobility Group may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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.

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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.