Anyone interested in Lever Style Corporation (HKG:1346) should probably be aware that the President, Jonathan Lee Seliger, recently divested HK$1.3m worth of shares in the company, at an average price of HK$0.40 each. The eyebrow raising move amounted to a reduction of 14% in their holding.

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Lever Style Insider Transactions Over The Last Year

In fact, the recent sale by Jonathan Lee Seliger was the biggest sale of Lever Style shares made by an insider individual in the last twelve months, according to our records. That means that even when the share price was slightly below the current price of HK$0.41, an insider wanted to cash in some shares. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent 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 14%of Jonathan Lee Seliger's holding.

Jonathan Lee Seliger sold a total of 6.40m shares over the year at an average price of US$0.40. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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Insider Ownership of Lever Style

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. From our data, it seems that Lever Style insiders own 9.0% of the company, worth about HK$23m. But they may have an indirect interest through a corporate structure that we haven't picked up on. Whilst better than nothing, we're not overly impressed by these holdings.

What Might The Insider Transactions At Lever Style Tell Us?

An insider sold stock recently, but they haven't been buying. Looking to the last twelve months, our data doesn't show any insider buying. On the plus side, Lever Style makes money, and is growing profits. Insiders own shares, but we're still pretty cautious, given the history of sales. We'd practice some caution before buying! 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. Case in point: We've spotted 4 warning signs for Lever Style you should be aware of, and 1 of these shouldn't be ignored.

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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.