Potential Tai Sin Electric Limited (SGX:500) shareholders may wish to note that the CEO & Executive Director, Boon Hock Lim, recently bought S$186k worth of stock, paying S$0.40 for each 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 Tai Sin Electric
The Last 12 Months Of Insider Transactions At Tai Sin Electric
Notably, that recent purchase by Boon Hock Lim is the biggest insider purchase of Tai Sin Electric shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of S$0.40. That means they have been optimistic about the company in the past, though they may have changed their mind. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. The good news for Tai Sin Electric share holders is that insiders were buying at near the current price.
While Tai Sin Electric insiders bought shares during the last year, they didn't sell. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Tai Sin Electric is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership Of Tai Sin Electric
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Tai Sin Electric insiders own about S$121m worth of shares (which is 66% 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 Tai Sin Electric Tell Us?
It is good to see recent purchasing. We also take confidence from the longer term picture of insider transactions. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Tai Sin Electric. Nice! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Tai Sin Electric. While conducting our analysis, we found that Tai Sin Electric has 2 warning signs and it would be unwise to ignore these.
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 of direct interests only, but not derivative transactions or indirect interests.
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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.