We wouldn't blame Dashan Education Holdings Limited (HKG:9986) shareholders if they were a little worried about the fact that Hongjun Zhang, the Chairman & CEO recently netted about HK$134m selling shares at an average price of HK$0.60. That's a big disposal, and it decreased their holding size by 45%, which is notable but not too bad.
Check out our latest analysis for Dashan Education Holdings
Dashan Education Holdings Insider Transactions Over The Last Year
Notably, that recent sale by Hongjun Zhang is the biggest insider sale of Dashan Education Holdings shares that we've seen in the last year. That means that even when the share price was below the current price of HK$2.12, 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 only 45% of Hongjun Zhang's holding.
You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.
Insider Ownership Of Dashan Education Holdings
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Dashan Education Holdings insiders own 62% of the company, worth about HK$1.1b. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Do The Dashan Education Holdings Insider Transactions Indicate?
An insider sold Dashan Education Holdings shares recently, but they didn't buy any. And there weren't any purchases to give us comfort, over the last year. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Dashan Education Holdings. For example, Dashan Education Holdings has 3 warning signs (and 2 which can't be ignored) we think you should know about.
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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