Founder Woo Boon Teng Just Bought A Handful Of Shares In Ban Leong Technologies Limited (SGX:B26)

Even if it's not a huge purchase, we think it was good to see that Woo Boon Teng, the Founder of Ban Leong Technologies Limited (SGX:B26) recently shelled out S$56k to buy stock, at S$0.25 per share. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.

Check out our latest analysis for Ban Leong Technologies

The Last 12 Months Of Insider Transactions At Ban Leong Technologies

In fact, the recent purchase by Woo Boon Teng was the biggest purchase of Ban Leong Technologies shares made by an insider individual in the last twelve months, according to our records. That means that even when the share price was higher than S$0.24 (the recent price), an insider wanted to purchase shares. It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.

Ban Leong Technologies insiders may have bought shares in the last year, but they didn't sell any. 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!

Ban Leong Technologies is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insider Ownership

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Ban Leong Technologies insiders own 80% of the company, currently worth about S$22m 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 Ban Leong Technologies Insider Transactions Indicate?

The recent insider purchases are heartening. 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 Ban Leong Technologies. One for the watchlist, at least! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Ban Leong Technologies. In terms of investment risks, we've identified 2 warning signs with Ban Leong Technologies and understanding these should be part of your investment process.

Of course Ban Leong Technologies may not be the best stock to buy. So you may wish to see this free collection of high quality 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, but not derivative transactions.

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This article by Simply Wall St is general in nature. 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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