12% Of This iMotion Automotive Technology (Suzhou) Insider's Holdings Were Sold

Looking at iMotion Automotive Technology (Suzhou) Co., Ltd.'s (HKG:1274 ) insider transactions over the last year, we can see that insiders were net sellers. That is, there were more number of shares sold by insiders than there were purchased.

While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.

The Last 12 Months Of Insider Transactions At iMotion Automotive Technology (Suzhou)

Over the last year, we can see that the biggest insider sale was by the insider, Mingming Huang, for HK$24m worth of shares, at about HK$18.30 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of HK$19.80. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. We note that the biggest single sale was only 12% of Mingming Huang's holding. Mingming Huang was the only individual insider to sell over the last year.

Mingming Huang ditched 1.74m shares over the year. The average price per share was CN¥18.07. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Check out our latest analysis for iMotion Automotive Technology (Suzhou)

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Insiders At iMotion Automotive Technology (Suzhou) Have Sold Stock Recently

The last quarter saw substantial insider selling of iMotion Automotive Technology (Suzhou) shares. In total, insider Mingming Huang sold HK$31m worth of shares in that time, and we didn't record any purchases whatsoever. Overall this makes us a bit cautious, but it's not the be all and end all.

Insider Ownership

For a common shareholder, it is worth checking how many shares are held by company 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 iMotion Automotive Technology (Suzhou) insiders own 31% of the company, worth about HK$1.5b. 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 Does This Data Suggest About iMotion Automotive Technology (Suzhou) Insiders?

An insider hasn't bought iMotion Automotive Technology (Suzhou) stock in the last three months, but there was some selling. Looking to the last twelve months, our data doesn't show any insider buying. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing iMotion Automotive Technology (Suzhou). Case in point: We've spotted 2 warning signs for iMotion Automotive Technology (Suzhou) you should be aware of, and 1 of these is a bit concerning.

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 of direct interests only, but not derivative transactions or indirect interests.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.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.