Shanghai HeartCare Medical Technology Sees Insider Stock Selling

Looking at Shanghai HeartCare Medical Technology Corporation Limited's (HKG:6609 ) insider transactions over the last year, we can see that insiders were net sellers. That is, there were more number of shares sold by insiders than there were purchased.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

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The Last 12 Months Of Insider Transactions At Shanghai HeartCare Medical Technology

In the last twelve months, the biggest single sale by an insider was when the insider, Kui Ding, sold HK$1.9m worth of shares at a price of HK$50.53 per share. So we know that an insider sold shares at around the present share price of HK$46.50. 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. Kui Ding was the only individual insider to sell over the last year.

Kui Ding ditched 116.00k shares over the year. The average price per share was CN¥50.25. 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 Shanghai HeartCare Medical Technology

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Insider Ownership

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Shanghai HeartCare Medical Technology insiders own about HK$578m worth of shares. That equates to 33% of the company. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Does This Data Suggest About Shanghai HeartCare Medical Technology Insiders?

It doesn't really mean much that no insider has traded Shanghai HeartCare Medical Technology shares in the last quarter. It's heartening that insiders own plenty of stock, but we'd like to see more insider buying, since the last year of Shanghai HeartCare Medical Technology insider transactions don't fill us with confidence. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Shanghai HeartCare Medical Technology.

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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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