Trade Alert: President & Executive Director Of T.S. Lines Hung-Lin To Has Sold Stock

We'd be surprised if T.S. Lines Limited (HKG:2510) shareholders haven't noticed that the President & Executive Director, Hung-Lin To, recently sold HK$2.4m worth of stock at HK$7.77 per share. The eyebrow raising move amounted to a reduction of 47% in their holding.

We've discovered 5 warning signs about T.S. Lines. View them for free.

The Last 12 Months Of Insider Transactions At T.S. Lines

Notably, that recent sale by Hung-Lin To is the biggest insider sale of T.S. Lines shares that we've seen in the last year. That means that an insider was selling shares at around the current price of HK$7.37. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

Hung-Lin To sold a total of 465.00k shares over the year at an average price of US$7.80. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

Check out our latest analysis for T.S. Lines

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Insider Ownership Of T.S. Lines

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. T.S. Lines insiders own 51% of the company, currently worth about HK$6.2b based on the recent share price. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At T.S. Lines Tell Us?

An insider sold stock recently, but they haven't been buying. Despite some insider buying, the longer term picture doesn't make us feel much more positive. On the plus side, T.S. Lines makes money, and is growing profits. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For example, T.S. Lines has 5 warning signs (and 2 which are potentially serious) we think you should know about.

But note: T.S. Lines 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.

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

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.