Even if it's not a huge purchase, we think it was good to see that Kwok Wai Li, the CEO & Executive Director of Yeebo (International Holdings) Limited (HKG:259) recently shelled out HK$103k to buy stock, at HK$3.03 per share. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.

View our latest analysis for Yeebo (International Holdings)

Yeebo (International Holdings) Insider Transactions Over The Last Year

Notably, that recent purchase by CEO & Executive Director Kwok Wai Li was not the only time they traded Yeebo (International Holdings) shares this year. Earlier in the year, they sold shares at a price ofHK$2.57 per share in a -HK$93m transaction. So it's clear an insider wanted to take some cash off the table, even below the current price of HK$3.03. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. We note that the biggest single sale was only 25%of Kwok Wai Li's holding.

You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).

Insider Ownership Of Yeebo (International Holdings)

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. Yeebo (International Holdings) insiders own about HK$391m worth of shares. That equates to 13% of the company. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About Yeebo (International Holdings) Insiders?

It's certainly positive to see the recent insider purchase. On the other hand the transaction history, over the last year, isn't so positive. The high levels of insider ownership, and the recent buying by an insider suggests they are well aligned and optimistic. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Yeebo (International Holdings). To assist with this, we've discovered 1 warning sign that you should run your eye over to get a better picture of Yeebo (International Holdings).

But note: Yeebo (International 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.