Looking at Bright Smart Securities & Commodities Group Limited’s (HKG:1428 ) insider transactions over the last year, we can see that insiders were net sellers. That is, there were more number of shares sold by insiders than there were purchased.
While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.
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Bright Smart Securities & Commodities Group Insider Transactions Over The Last Year
The Executive Chairman, Mow Lum Yip, made the biggest insider sale in the last 12 months. That single transaction was for HK$28m worth of shares at a price of HK$1.71 each. While we don’t usually like to see insider selling, it’s more concerning if the sales take place at a lower price. It’s of some comfort that this sale was conducted at a price well above the current share price, which is HK$1.48. So it is hard to draw any strong conclusion from it. The only individual insider seller over the last year was Mow Lum Yip.
Mow Lum Yip ditched 124.47m shares over the year. The average price per share was HK$1.60. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
I will like Bright Smart Securities & Commodities Group better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.
Does Bright Smart Securities & Commodities Group Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. It’s great to see that Bright Smart Securities & Commodities Group insiders own 57% of the company, worth about HK$1.5b. 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 Does This Data Suggest About Bright Smart Securities & Commodities Group Insiders?
The fact that there have been no Bright Smart Securities & Commodities Group insider transactions recently certainly doesn’t bother us. It’s heartening that insiders own plenty of stock, but we’d like to see more insider buying, since the last year of Bright Smart Securities & Commodities Group insider transactions don’t fill us with confidence. So while it’s helpful to know what insiders are doing in terms of buying or selling, it’s also helpful to know the risks that a particular company is facing. Every company has risks, and we’ve spotted 2 warning signs for Bright Smart Securities & Commodities Group 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.
