Even if it's not a huge purchase, we think it was good to see that Xiaoming Ma, the Chairman & CEO of Xin Point Holdings Limited (HKG:1571) recently shelled out HK$672k to buy stock, at HK$2.02 per share. Nevertheless, it only increased their shareholding by a minuscule percentage, and it wasn't a massive purchase by absolute value, either.

See our latest analysis for Xin Point Holdings

Xin Point Holdings Insider Transactions Over The Last Year

In fact, the recent purchase by Xiaoming Ma was the biggest purchase of Xin Point Holdings shares made by an insider individual in the last twelve months, according to our records. That implies that an insider found the current price of HK$2.05 per share to be enticing. 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. The good news for Xin Point Holdings share holders is that an insider was buying at near the current price. The only individual insider to buy over the last year was Xiaoming Ma.

Xiaoming Ma bought a total of 860.00k shares over the year at an average price of HK$2.05. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

Xin Point Holdings is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

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. Xin Point Holdings insiders own 74% of the company, currently worth about HK$1.5b 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 Xin Point Holdings Tell Us?

The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Xin Point Holdings. Looks promising! 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. For example, Xin Point Holdings has 4 warning signs (and 1 which is potentially serious) we think you should know about.

But note: Xin Point 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, but not derivative transactions.

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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.