Some Acme International Holdings Limited (HKG:1870) shareholders may be a little concerned to see that the Executive Chairman & CEO, Kam Tim Kwan, recently sold a substantial HK$10m worth of stock at a price of HK$1.00 per share. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 5.3%.

View our latest analysis for Acme International Holdings

Acme International Holdings Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the insider, Kim Hung Mak, sold HK$44m worth of shares at a price of HK$0.80 per share. That means that even when the share price was below the current price of HK$1.08, 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. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. It is worth noting that this sale was 69% of Kim Hung Mak's holding.

Happily, we note that in the last year insiders paid HK$116m for 172.61m shares. On the other hand they divested 185.00m shares, for HK$132m. All up, insiders sold more shares in Acme International Holdings than they bought, over the last year. The sellers received a price of around HK$0.71, on average. It's not too encouraging to see that insiders have sold at below the current price. Since insiders sell for many reasons, we wouldn't put too much weight on it. 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!

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 Acme International Holdings

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Acme International Holdings insiders own 70% of the company, worth about HK$469m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At Acme International Holdings Tell Us?

An insider sold Acme International Holdings shares recently, but they didn't buy any. Despite some insider buying, the longer term picture doesn't make us feel much more positive. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. 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. At Simply Wall St, we've found that Acme International Holdings has 5 warning signs (1 is a bit concerning!) that deserve your attention before going any further with your analysis.

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.