How Much Are AEON Stores (Hong Kong) Co., Limited (HKG:984) Insiders Spending On Buying Shares?

We often see insiders buying up shares in companies that perform well over the long term. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So we'll take a look at whether insiders have been buying or selling shares in AEON Stores (Hong Kong) Co., Limited (HKG:984).

Do Insider Transactions Matter?

It is perfectly legal for company insiders, including board members, to buy and sell stock in a company. However, rules govern insider transactions, and certain disclosures are required.

Insider transactions are not the most important thing when it comes to long-term investing. But logic dictates you should pay some attention to whether insiders are buying or selling shares. For example, a Columbia University study found that 'insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers'.

Check out our latest analysis for AEON Stores (Hong Kong)

The Last 12 Months Of Insider Transactions At AEON Stores (Hong Kong)

While no particular insider transaction stood out, we can still look at the overall trading.

In the last twelve months AEON Stores (Hong Kong) insiders were buying shares, but not selling. 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!

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.

Insider Ownership of AEON Stores (Hong Kong)

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. From what we can see in our data, insiders own only about HK$150k worth of AEON Stores (Hong Kong) shares. We might be missing something but that seems like very low insider ownership.

So What Does This Data Suggest About AEON Stores (Hong Kong) Insiders?

The fact that there have been no AEON Stores (Hong Kong) insider transactions recently certainly doesn't bother us. But insiders have shown more of an appetite for the stock, over the last year. While we have no worries about the insider transactions, we'd be more comfortable if they owned more AEON Stores (Hong Kong) stock. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing AEON Stores (Hong Kong). To that end, you should learn about the 3 warning signs we've spotted with AEON Stores (Hong Kong) (including 1 which is significant).

Of course AEON Stores (Hong Kong) 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.

If you decide to trade AEON Stores (Hong Kong), use the lowest-cost* platform that is rated #1 Overall by Barron’s, Interactive Brokers. Trade stocks, options, futures, forex, bonds and funds on 135 markets, all from a single integrated account. Promoted

This article by Simply Wall St is general in nature. 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.
^*Interactive Brokers Rated Lowest Cost Broker by StockBrokers.com Annual Online Review 2020

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.