Envictus International Holdings Insiders Placed Bullish Bets Worth RM29.9m

Quite a few insiders have dramatically grown their holdings in Envictus International Holdings Limited (SGX:BQD) over the past 12 months. An insider's optimism about the company's prospects is a positive sign.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

See our latest analysis for Envictus International Holdings

The Last 12 Months Of Insider Transactions At Envictus International Holdings

Over the last year, we can see that the biggest insider purchase was by insider Chih Kwong Cheng for S$11m worth of shares, at about S$0.23 per share. That means that an insider was happy to buy shares at around the current price of S$0.23. That means they have been optimistic about the company in the past, though they may have changed their mind. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. The good news for Envictus International Holdings share holders is that insiders were buying at near the current price.

Over the last year, we can see that insiders have bought 132.15m shares worth S$30m. But they sold 127.84m shares for S$29m. In the last twelve months there was more buying than selling by Envictus International Holdings insiders. 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!

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

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Envictus International Holdings insiders own 76% of the company, currently worth about S$54m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Does This Data Suggest About Envictus International Holdings Insiders?

Insider buying and selling have balanced each other out in the last three months, so we can't deduct anything useful from these recent trades. But insiders have shown more of an appetite for the stock, over the last year. It would be great to see more insider buying, but overall it seems like Envictus International Holdings insiders are reasonably well aligned (owning significant chunk of the company's shares) and optimistic for the future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. While conducting our analysis, we found that Envictus International Holdings has 3 warning signs and it would be unwise to ignore these.

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.