Even if it's not a huge purchase, we think it was good to see that Pak Fai Lau, the Co-Founder & Honorary Chairman of International Housewares Retail Company Limited (HKG:1373) recently shelled out HK$576k to buy stock, at HK$2.88 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.
See our latest analysis for International Housewares Retail
The Last 12 Months Of Insider Transactions At International Housewares Retail
In the last twelve months, the biggest single purchase by an insider was when Co-Founder Lai Ha Ngai bought HK$2.6m worth of shares at a price of HK$2.67 per share. That implies that an insider found the current price of HK$2.91 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. The good news for International Housewares Retail share holders is that insiders were buying at near the current price.
In the last twelve months International Housewares Retail insiders were buying shares, but not selling. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!SEHK:1373 Insider Trading Volume August 4th 2022
There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).
Does International Housewares Retail Boast High Insider Ownership?
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. Insiders own 16% of International Housewares Retail shares, worth about HK$332m. 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 International Housewares Retail Tell Us?
The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. Once you factor in the high insider ownership, it certainly seems like insiders are positive about International Housewares Retail. That's what I like to see! So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. You'd be interested to know, that we found 1 warning sign for International Housewares Retail and we suggest you have a look.
Of course International Housewares Retail may not be the best stock to buy. So you may wish to see this free collection of high quality 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.