One Regencell Bioscience Holdings Limited (NASDAQ:RGC) insider upped their stake by 0.5% in the previous year
Looking at Regencell Bioscience Holdings Limited's (NASDAQ:RGC ) insider transactions over the last year, we can see that insiders were net buyers. That is, there were more number of shares purchased by insiders than there were sold.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
Check out our latest analysis for Regencell Bioscience Holdings
The Last 12 Months Of Insider Transactions At Regencell Bioscience Holdings
The Founder Yat-Gai Au made the biggest insider purchase in the last 12 months. That single transaction was for US$1.2m worth of shares at a price of US$25.23 each. So it's clear an insider wanted to buy, at around the current price, which is US$25.88. That means they have been optimistic about the company in the past, though they may have changed their mind. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. In this case we're pleased to report that the insider bought shares at close to current prices. Yat-Gai Au was the only individual insider to buy shares in the last twelve months.
Yat-Gai Au bought 71.45k shares over the last 12 months at an average price of US$29.70. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Regencell Bioscience Holdings is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership
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. It's great to see that Regencell Bioscience Holdings insiders own 81% of the company, worth about US$273m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Do The Regencell Bioscience Holdings Insider Transactions Indicate?
The fact that there have been no Regencell Bioscience Holdings insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. It would be great to see more insider buying, but overall it seems like Regencell Bioscience Holdings insiders are reasonably well aligned (owning significant chunk of the company's shares) and optimistic for the future. 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. At Simply Wall St, we've found that Regencell Bioscience Holdings has 2 warning signs (1 is a bit unpleasant!) that deserve your attention before going any further with your analysis.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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, but not derivative transactions.
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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.
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