Some Sunny Side Up Culture Holdings Limited (HKG:8082) shareholders may be a little concerned to see that insider Bing Chui recently sold a substantial HK$12m worth of stock at a price of HK$0.06 per share. That diminished their holding by a very significant 74%, which arguably implies a strong desire to reallocate capital.

The Last 12 Months Of Insider Transactions At Sunny Side Up Culture Holdings

Notably, that recent sale by Bing Chui is the biggest insider sale of Sunny Side Up Culture Holdings shares that we've seen in the last year. So it's clear an insider wanted to take some cash off the table, even below the current price of HK$0.071. 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. However, while insider selling is sometimes discouraging, it's only a weak signal. This single sale was 74% of Bing Chui's stake.

Bing Chui sold a total of 310.80m shares over the year at an average price of HK$0.057. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Does Sunny Side Up Culture Holdings Boast High 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. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 32% of Sunny Side Up Culture Holdings shares, worth about HK$56m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Does This Data Suggest About Sunny Side Up Culture Holdings Insiders?

An insider hasn't bought Sunny Side Up Culture Holdings stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. So we'd only buy after careful consideration. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Sunny Side Up Culture Holdings. To help with this, we've discovered 5 warning signs (2 are concerning!) that you ought to be aware of before buying any shares in Sunny Side Up Culture Holdings.

But note: Sunny Side Up Culture Holdings may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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 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.