Insider Buying: XMH Holdings Chairman & MD Bought S$732m Of Shares

Those following along with XMH Holdings Ltd. (SGX:BQF) will no doubt be intrigued by the recent purchase of shares by Tin Yeow Tan, Chairman & MD of the company, who spent a stonking S$732m on stock at an average price of S$18,354. While that only increased their holding size by 0.06%, it is still a big swing by our standards.

See our latest analysis for XMH Holdings

The Last 12 Months Of Insider Transactions At XMH Holdings

Notably, that recent purchase by Tin Yeow Tan is the biggest insider purchase of XMH Holdings shares that we've seen in the last year. So it's clear an insider wanted to buy, even at a higher price than the current share price (being S$0.47). It's very possible they regret the purchase, but it's more likely they are bullish about the company. To us, it's very important to consider the price insiders pay for shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

In the last twelve months XMH Holdings insiders were buying shares, but not selling. Their average price was about S$32.15. These transactions suggest that insiders have considered the current price attractive. 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!

XMH Holdings is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Insider Ownership Of XMH Holdings

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. It's great to see that XMH Holdings insiders own 97% of the company, worth about S$50m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

What Might The Insider Transactions At XMH Holdings Tell Us?

It's certainly positive to see the recent insider purchase. And the longer term insider transactions also give us confidence. When combined with notable insider ownership, these factors suggest XMH Holdings insiders are well aligned, and quite possibly think the share price is too low. Nice! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 3 warning signs for XMH Holdings you should know about.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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 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.

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