Anyone interested in CK Life Sciences Int'l., (Holdings) Inc. (HKG:775) should probably be aware that the President & Executive Director, Hing Lam Kam, recently divested HK$1.3m worth of shares in the company, at an average price of HK$0.55 each. That sale was 37% of their holding, so it does make us raise an eyebrow.
CK Life Sciences Int'l. (Holdings) Insider Transactions Over The Last Year
Notably, that recent sale by Hing Lam Kam is the biggest insider sale of CK Life Sciences Int'l. (Holdings) shares that we've seen in the last year. That means that an insider was selling shares at around the current price of HK$0.54. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.
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!
Check out our latest analysis for CK Life Sciences Int'l. (Holdings)
I will like CK Life Sciences Int'l. (Holdings) better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.
Insider Ownership
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. CK Life Sciences Int'l. (Holdings) insiders own 22% of the company, currently worth about HK$1.2b 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.
What Might The Insider Transactions At CK Life Sciences Int'l. (Holdings) Tell Us?
An insider sold stock recently, but they haven't been buying. Despite some insider buying, the longer term picture doesn't make us feel much more positive. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. 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. Be aware that CK Life Sciences Int'l. (Holdings) is showing 3 warning signs in our investment analysis, and 2 of those are potentially serious...
But note: CK Life Sciences Int'l. (Holdings) 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.