Wealthking Investments Limited (HKG:1140) shareholders (or potential shareholders) will be happy to see that the CEO & Executive Chairman, Zhiwei Liu, recently bought a whopping HK$240m worth of stock, at a price of HK$0.83. Aside from being a solid chunk in its own right, the deft move also saw their holding increase by some 12%.
View our latest analysis for Wealthking Investments
Wealthking Investments Insider Transactions Over The Last Year
In fact, the recent purchase by CEO & Executive Chairman Zhiwei Liu was not their only acquisition of Wealthking Investments shares this year. They previously made an even bigger purchase of HK$1.4b worth of shares at a price of HK$0.92 per share. That means that an insider was happy to buy shares at above the current price of HK$0.36. Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.
While Wealthking Investments insiders bought shares during the last year, they didn't sell. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Wealthking Investments is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership
Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Wealthking Investments insiders own about HK$2.2b worth of shares (which is 58% of the company). 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 Does This Data Suggest About Wealthking Investments Insiders?
The recent insider purchase is heartening. And the longer term insider transactions also give us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Wealthking Investments. That's what I like to see! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Wealthking Investments. Case in point: We've spotted 2 warning signs for Wealthking Investments you should be aware of, and 1 of these makes us a bit uncomfortable.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.
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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