Insider Buying: XMH Holdings Chairman & MD Bought S$1.3m Of Shares
Those following along with XMH Holdings Ltd. (SGX:BQF) will no doubt be intrigued by the recent purchase of shares by Tin Yeow Tan, Chairman & MD of the company, who spent a stonking S$1.3m on stock at an average price of S$2.01. While that only increased their holding size by 0.9%, it is still a big swing by our standards.
The Last 12 Months Of Insider Transactions At XMH Holdings
Notably, that recent purchase by Tin Yeow Tan is the biggest insider purchase of XMH Holdings shares that we've seen in the last year. That implies that an insider found the current price of S$2.15 per share to be enticing. That means they have been optimistic about the company in the past, though they may have changed their mind. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. In this case we're pleased to report that the insider bought shares at close to current prices. Tin Yeow Tan was the only individual insider to buy shares in the last twelve months.
Tin Yeow Tan purchased 1.97m shares over the year. The average price per share was S$1.71. 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!
View our latest analysis for XMH Holdings
There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).
Does XMH Holdings Boast High 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. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that XMH Holdings insiders own 100% of the company, worth about S$235m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
So What Do The XMH Holdings Insider Transactions Indicate?
It's certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. When combined with notable insider ownership, these factors suggest XMH Holdings insiders are well aligned, and quite possibly think the share price is too low. Nice! So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. Case in point: We've spotted 1 warning sign for XMH Holdings you should be aware of.
But note: XMH 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.