Ningdi Chen Spends HK$3.9m On DL Holdings Group Stock

Investors who take an interest in DL Holdings Group Limited (HKG:1709) should definitely note that the Executive Chairman of the Board & CEO, Ningdi Chen, recently paid HK$1.52 per share to buy HK$3.9m worth of the stock. However, it only increased shareholding by a small percentage, and it wasn't a huge purchase by absolute value, either.

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The Last 12 Months Of Insider Transactions At DL Holdings Group

Over the last year, we can see that the biggest insider purchase was by insider Chang-Wei Chiu for HK$195m worth of shares, at about HK$3.05 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being HK$1.61). It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing 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.

Over the last year, we can see that insiders have bought 73.86m shares worth HK$222m. But they sold 54.72m shares for HK$180m. In total, DL Holdings Group insiders bought more than they sold over the last year. 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!

Check out our latest analysis for DL Holdings Group

DL Holdings Group is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership Of DL Holdings Group

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. DL Holdings Group insiders own 38% of the company, currently worth about HK$1.2b based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Do The DL Holdings Group Insider Transactions Indicate?

It's certainly positive to see the recent insider purchases. And an analysis of the transactions over the last year also gives us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about DL Holdings Group. One for the watchlist, at least! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing DL Holdings Group. When we did our research, we found 3 warning signs for DL Holdings Group (1 doesn't sit too well with us!) that we believe deserve your full attention.

Of course DL Holdings Group 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 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.