Executive Chairman of Tat Seng Packaging Group Seng Hui Goi Buys 9,458% More Shares

Tat Seng Packaging Group Ltd (SGX:T12) shareholders (or potential shareholders) will be happy to see that the Executive Chairman, Seng Hui Goi, recently bought a whopping S$35m worth of stock, at a price of S$0.90. That increased their holding by a full 9,458%, which arguably implies the sort of confidence required for a shy sweet-natured nerd to ask the most popular kid in the school to go out on a date.

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The Last 12 Months Of Insider Transactions At Tat Seng Packaging Group

Notably, that recent purchase by Seng Hui Goi is the biggest insider purchase of Tat Seng Packaging Group shares that we've seen in the last year. That means that an insider was happy to buy shares at above the current price of S$0.87. 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. It is encouraging to see an insider paid above the current price for shares, as it suggests they saw value, even at higher levels. Seng Hui Goi was the only individual insider to buy during the last year.

The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Check out our latest analysis for Tat Seng Packaging Group

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.

Does Tat Seng Packaging Group Boast High Insider Ownership?

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. I reckon it's a good sign if insiders own a significant number of shares in the company. Based on our data, Tat Seng Packaging Group insiders have about 2.1% of the stock, worth approximately S$2.9m. We consider this fairly low insider ownership.

So What Do The Tat Seng Packaging Group Insider Transactions Indicate?

It's certainly positive to see the recent insider purchase. And the longer term insider transactions also give us confidence. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on Tat Seng Packaging Group stock. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we've found that Tat Seng Packaging Group has 2 warning signs (1 doesn't sit too well with us!) that deserve your attention before going any further with your analysis.

But note: Tat Seng Packaging Group 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.

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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.