Potential Nissin Foods Company Limited (HKG:1475) shareholders may wish to note that the Chairman & CEO, Kiyotaka Ando, recently bought HK$3.2m worth of stock, paying HK$6.21 for each share. While that's a very decent purchase to our minds, it was proportionally a bit modest, boosting their holding by just 3.1%.
The Last 12 Months Of Insider Transactions At Nissin Foods
Notably, that recent purchase by Chairman & CEO Kiyotaka Ando was not the only time they bought Nissin Foods shares this year. Earlier in the year, they paid HK$3.86 per share in a HK$20m purchase. We do like to see buying, but this purchase was made at well below the current price of HK$6.21. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.
Kiyotaka Ando bought a total of 6.22m shares over the year at an average price of HK$4.25. The chart below shows insider transactions (by individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Insider Ownership of Nissin Foods
Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Nissin Foods insiders own 1.6% of the company, worth about HK$104m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
So What Do The Nissin Foods Insider Transactions Indicate?
It is good 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 Nissin Foods insiders are well aligned, and quite possibly think the share price is too low. Looks promising! Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for Nissin Foods.
But note: Nissin Foods 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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