Tin Yeow Tan Spends S$191k On XMH Holdings Stock

Investors who take an interest in XMH Holdings Ltd. (SGX:BQF) should definitely note that the Chairman & MD, Tin Yeow Tan, recently paid S$0.43 per share to buy S$191k worth of the stock. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.

See our latest analysis for XMH Holdings

The Last 12 Months Of Insider Transactions At XMH Holdings

Notably, that recent purchase by Chairman & MD Tin Yeow Tan was not the only time they bought XMH Holdings shares this year. They previously made an even bigger purchase of S$1.8m worth of shares at a price of S$0.35 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of S$0.43. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

While XMH Holdings insiders bought shares during the last year, they didn't sell. The chart below shows insider transactions (by companies and individuals) over the last year. 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 undervalued small cap companies that insiders are buying.

Insider Ownership

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. XMH Holdings insiders own 97% of the company, currently worth about S$46m 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.

So What Do The XMH Holdings Insider Transactions Indicate?

It is good to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about XMH Holdings. Looks promising! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Case in point: We've spotted 3 warning signs for XMH Holdings you should be aware of, and 1 of these shouldn't be ignored.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.