By selling CN¥38m worth of CARsgen Therapeutics Holdings Limited (HKG:2171) stock at an average sell price of CN¥13.40 over the last year, insiders seemed to have made the most of their holdings. After the stock price dropped 14% last week, the company's market value declined by HK$1.1b, but insiders were able to mitigate their losses.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

View our latest analysis for CARsgen Therapeutics Holdings

CARsgen Therapeutics Holdings Insider Transactions Over The Last Year

The insider, Zhi Yang, made the biggest insider sale in the last 12 months. That single transaction was for HK$14m worth of shares at a price of HK$14.36 each. While insider selling is a negative, to us, it is more negative if the shares are sold 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$12.16. So it is hard to draw any strong conclusion from it. The only individual insider seller over the last year was Zhi Yang.

Zhi Yang ditched 2.86m shares over the year. The average price per share was CN¥13.40. 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!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insiders At CARsgen Therapeutics Holdings Have Sold Stock Recently

The last quarter saw substantial insider selling of CARsgen Therapeutics Holdings shares. In total, insider Zhi Yang dumped HK$23m worth of shares in that time, and we didn't record any purchases whatsoever. Overall this makes us a bit cautious, but it's not the be all and end all.

Insider Ownership

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that CARsgen Therapeutics Holdings insiders own 4.9% of the company, worth about HK$338m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Do The CARsgen Therapeutics Holdings Insider Transactions Indicate?

An insider hasn't bought CARsgen Therapeutics Holdings stock in the last three months, but there was some selling. Looking to the last twelve months, our data doesn't show any insider buying. It is good to see high insider ownership, but the insider selling leaves us cautious. While we like knowing 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. Every company has risks, and we've spotted 5 warning signs for CARsgen Therapeutics Holdings (of which 1 makes us a bit uncomfortable!) you should know about.

But note: CARsgen Therapeutics 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.