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CEO & Executive Director Nianshu Gao Just Bought 1.4% More Shares In Asiainfo Technologies Limited (HKG:1675)

Simply Wall St ·  Aug 20, 2022 20:30

Potential Asiainfo Technologies Limited (HKG:1675) shareholders may wish to note that the CEO & Executive Director, Nianshu Gao, recently bought HK$2.3m worth of stock, paying HK$11.13 for each share. Although the purchase only increased their holding by 1.4%, it is still a solid purchase in our view.

Check out our latest analysis for Asiainfo Technologies

The Last 12 Months Of Insider Transactions At Asiainfo Technologies

Notably, that recent purchase by Nianshu Gao is the biggest insider purchase of Asiainfo Technologies shares that we've seen in the last year. So it's clear an insider wanted to buy, at around the current price, which is HK$11.24. 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. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. Happily, the Asiainfo Technologies insider decided to buy shares at close to current prices. Nianshu Gao was the only individual insider to buy during the last year.

Nianshu Gao purchased 575.20k shares over the year. The average price per share was HK$11.80. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

insider-trading-volumeSEHK:1675 Insider Trading Volume August 21st 2022

Asiainfo Technologies is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership Of Asiainfo Technologies

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. It's great to see that Asiainfo Technologies insiders own 18% of the company, worth about HK$1.9b. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Do The Asiainfo Technologies Insider Transactions Indicate?

The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Asiainfo Technologies. 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. To assist with this, we've discovered 1 warning sign that you should run your eye over to get a better picture of Asiainfo Technologies.

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.

Disclaimer: This content is for informational and educational purposes only and does not constitute a recommendation or endorsement of any specific investment or investment strategy. Read more
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