Non-Executive Chairman of CIMC Enric Holdings Picks Up 21% More Stock
Investors who take an interest in CIMC Enric Holdings Limited (HKG:3899) should definitely note that the Non-Executive Chairman, Xiang Gao, recently paid HK$6.75 per share to buy HK$3.4m worth of the stock. That's a very decent purchase to our minds and it grew their holding by a solid 21%.
The Last 12 Months Of Insider Transactions At CIMC Enric Holdings
Notably, that recent purchase by Xiang Gao is the biggest insider purchase of CIMC Enric Holdings shares that we've seen in the last year. So it's clear an insider wanted to buy, at around the current price, which is HK$7.42. Of course they may have changed their mind. But this suggests they are optimistic. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. In this case we're pleased to report that the insider bought shares at close to current prices. Xiang Gao was the only individual insider to buy during the last year.
You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
See our latest analysis for CIMC Enric Holdings
There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).
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. Insiders own 0.3% of CIMC Enric Holdings shares, worth about HK$47m, according to our data. We do generally prefer see higher levels of insider ownership.
What Might The Insider Transactions At CIMC Enric Holdings Tell Us?
It is good to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. When combined with notable insider ownership, these factors suggest CIMC Enric Holdings insiders are well aligned, and that they may think the share price is too low. While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. In terms of investment risks, we've identified 1 warning sign with CIMC Enric Holdings and understanding this should be part of your investment process.
Of course CIMC Enric Holdings 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 of direct interests only, but not derivative transactions or indirect interests.
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