Whilst it may not be a huge deal, we thought it was good to see that the Meta Media Holdings Limited (HKG:72) Founder, Zhong Shao, recently bought HK$52k worth of stock, for HK$0.21 per share. Nevertheless, it only increased their shareholding by a minuscule percentage, and it wasn't a massive purchase by absolute value, either.

View our latest analysis for Meta Media Holdings

Meta Media Holdings Insider Transactions Over The Last Year

Notably, that recent purchase by Zhong Shao is the biggest insider purchase of Meta Media Holdings shares that we've seen in the last year. We do like to see buying, but this purchase was made at well below the current price of HK$0.49. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Zhong Shao bought 344.00k shares over the last 12 months at an average price of HK$0.21. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Meta Media Holdings is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Does Meta Media Holdings Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Meta Media Holdings insiders own about HK$160m worth of shares (which is 76% of the company). I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Do The Meta Media Holdings Insider Transactions Indicate?

The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. When combined with notable insider ownership, these factors suggest Meta Media Holdings insiders are well aligned, and quite possibly think the share price is too low. Looks promising! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For instance, we've identified 3 warning signs for Meta Media Holdings (1 is concerning) you should be aware of.

Of course Meta Media 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, but not derivative transactions.

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