Insiders at Kintor Pharmaceutical Limited (HKG:9939) sold CN¥71m worth of stock at an average price of CN¥20.35 a share over the past year, making the most of their investment. The company's market worth decreased by HK$2.0b over the past week after the stock price dropped 28%, although insiders were able to minimize their losses

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Kintor Pharmaceutical

Kintor Pharmaceutical Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the insider, Chuangxing Guo, for HK$60m worth of shares, at about HK$19.93 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (HK$13.42). So it is hard to draw any strong conclusion from it.

All up, insiders sold more shares in Kintor Pharmaceutical than they bought, over the last year. 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!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insiders At Kintor Pharmaceutical Have Sold Stock Recently

The last three months saw significant insider selling at Kintor Pharmaceutical. In total, CFO, Joint Company Secretary & Executive Director Yan Lu dumped HK$11m worth of shares in that time, and we didn't record any purchases whatsoever. Overall this makes us a bit cautious, but it's not the be all and end all.

Insider Ownership

Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Kintor Pharmaceutical insiders own about HK$1.2b worth of shares (which is 24% of the company). 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 Kintor Pharmaceutical Tell Us?

An insider sold Kintor Pharmaceutical shares recently, but they didn't buy any. Zooming out, the longer term picture doesn't give us much comfort. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. 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 found 4 warning signs for Kintor Pharmaceutical that deserve your attention before buying any shares.

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.