Some Willas-Array Electronics (Holdings) Limited (SGX:BDR) shareholders may be a little concerned to see that insider Chun Wah Leung recently sold a substantial S$25m worth of stock at a price of S$1.69 per share. Probably the most concerning element of the whole transaction is that the disposal amounted to 56% of their entire holding.

Check out our latest analysis for Willas-Array Electronics (Holdings)

Willas-Array Electronics (Holdings) Insider Transactions Over The Last Year

Notably, that recent sale by Chun Wah Leung is the biggest insider sale of Willas-Array Electronics (Holdings) shares that we've seen in the last year. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is S$0.56. So it may not tell us anything about how insiders feel about the current share price.

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!

I will like Willas-Array Electronics (Holdings) better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

Insider Ownership

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. Willas-Array Electronics (Holdings) insiders own 51% of the company, currently worth about S$25m based on the recent share price. 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 Willas-Array Electronics (Holdings) Tell Us?

An insider sold stock recently, but they haven't been buying. Zooming out, the longer term picture doesn't give us much comfort. It is good to see high insider ownership, but the insider selling leaves us cautious. 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. Be aware that Willas-Array Electronics (Holdings) is showing 8 warning signs in our investment analysis, and 3 of those are a bit unpleasant...

Of course Willas-Array Electronics (Holdings) may not be the best stock to buy. So you may wish to see this free collection of high quality 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.