Whilst it may not be a huge deal, we thought it was good to see that the Clover Biopharmaceuticals, Ltd. (HKG:2197) Founder, Peng Liang, recently bought HK$549k worth of stock, for HK$1.83 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 Clover Biopharmaceuticals

Clover Biopharmaceuticals Insider Transactions Over The Last Year

In fact, the recent purchase by Founder Peng Liang was not their only acquisition of Clover Biopharmaceuticals shares this year. Earlier in the year, they paid HK$1.92 per share in a HK$1.2m purchase. That means that even when the share price was higher than HK$1.84 (the recent price), an insider wanted to purchase shares. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. In our view, the price an insider pays for shares is very important. It is encouraging to see an insider paid above the current price for shares, as it suggests they saw value, even at higher levels. Peng Liang was the only individual insider to buy during the last year.

Peng Liang bought a total of 918.00k shares over the year at an average price of HK$1.89. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Insider Ownership Of Clover Biopharmaceuticals

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 Clover Biopharmaceuticals insiders own 22% of the company, worth about HK$470m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

What Might The Insider Transactions At Clover Biopharmaceuticals Tell Us?

It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Clover Biopharmaceuticals. Looks promising! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Clover Biopharmaceuticals. You'd be interested to know, that we found 1 warning sign for Clover Biopharmaceuticals and we suggest you have a look.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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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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.