Anyone interested in China Resources Medical Holdings Company Limited (HKG:1515) should probably be aware that the Independent Non-Executive Director, Ting Yuk Wu, recently divested HK$2.6m worth of shares in the company, at an average price of HK$4.41 each. Equally important, that sale actually reduced their holding by a full 100% which hardly makes us feel bullish about the stock.
China Resources Medical Holdings Insider Transactions Over The Last Year
Notably, that recent sale by Ting Yuk Wu is the biggest insider sale of China Resources Medical Holdings shares that we've seen in the last year. So we know that an insider sold shares at around the present share price of HK$4.27. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.
Ting Yuk Wu sold a total of 1.00m shares over the year at an average price of CN¥4.38. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
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Insider Ownership Of China Resources Medical Holdings
For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. From looking at our data, insiders own HK$9.6m worth of China Resources Medical Holdings stock, about 0.2% of the company. But they may have an indirect interest through a corporate structure that we haven't picked up on. We prefer to see high levels of insider ownership.
What Might The Insider Transactions At China Resources Medical Holdings Tell Us?
An insider sold stock recently, but they haven't been buying. And there weren't any purchases to give us comfort, over the last year. Insiders own relatively few shares in the company, and when you consider the sales, we're not particularly excited about the stock. So we're not rushing to buy, to say the least. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing China Resources Medical Holdings. To assist with this, we've discovered 1 warning sign that you should run your eye over to get a better picture of China Resources Medical Holdings.
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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.