FIH Mobile CEO & Executive Director Acquires 7.8% More Stock
Investors who take an interest in FIH Mobile Limited (HKG:2038) should definitely note that the CEO & Executive Director, Chia-Yi Lin, recently paid HK$16.51 per share to buy HK$1.7m worth of the stock. Although the purchase only increased their holding by 7.8%, it is still a solid purchase in our view.
The Last 12 Months Of Insider Transactions At FIH Mobile
Notably, that recent purchase by CEO & Executive Director Chia-Yi Lin was not the only time they traded FIH Mobile shares this year. They previously made a sale of -HK$3.0m worth of shares at a price of HK$30.02 per share. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. It's of some comfort that this sale was conducted at a price well above the current share price, which is HK$16.45. So it may not shed much light on insider confidence at current levels.
You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
Check out our latest analysis for FIH Mobile
I will like FIH Mobile better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.
Insider Ownership Of FIH Mobile
For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 0.8% of FIH Mobile shares, worth about HK$106m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
What Might The Insider Transactions At FIH Mobile Tell Us?
The recent insider purchase is heartening. However, the longer term transactions are not so encouraging. The high levels of insider ownership, and the recent buying by an insider suggests they are well aligned and optimistic. Along with insider transactions, I recommend checking if FIH Mobile is growing revenue. This free chart of historic revenue and earnings should make that easy.
But note: FIH Mobile 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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