We wouldn't blame Link Real Estate Investment Trust (HKG:823) shareholders if they were a little worried about the fact that Kwok Lung Hongchoy, the CEO & Executive Director of Link Asset Management Limited recently netted about HK$43m selling shares at an average price of HK$85.66. That's a big dump, and it decreased their holding size by 31%, which is notable but not too bad.
Link Real Estate Investment Trust Insider Transactions Over The Last Year
Notably, that recent sale by Kwok Lung Hongchoy is the biggest insider sale of Link Real Estate Investment Trust shares that we've seen in the last year. That means that an insider was selling shares at around the current price of HK$82.90. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).
We note that in the last year insiders divested 530000 shares for a total of HK$45m. Link Real Estate Investment Trust insiders didn't buy any shares over the last year. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).
Insider Ownership of Link Real Estate Investment Trust
For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. Link Real Estate Investment Trust insiders own about HK$233m worth of shares. That equates to 0.1% 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 Link Real Estate Investment Trust Insiders?
Insiders sold Link Real Estate Investment Trust shares recently, but they didn't buy any. And even if we look to the last year, we didn't see any purchases. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.
But note: Link Real Estate Investment Trust 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, but not derivative transactions.
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If you spot an error that warrants correction, please contact the editor at firstname.lastname@example.org. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.