Icon Culture Global Insiders Enjoying CN¥27m Appreciation On CN¥22.5m Investment

Icon Culture Global Company Limited (HKG:8500) insiders who bought shares over the past year were rewarded handsomely last week. The stock rose 53%, resulting in a HK$82m rise in the company's market capitalisation, translating to a gain of 120% on their initial investment. In other words, the original CN¥22.5m purchase is now worth CN¥49.5m.

While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

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The Last 12 Months Of Insider Transactions At Icon Culture Global

In the last twelve months, the biggest single purchase by an insider was when insider Dandan Yang bought HK$11m worth of shares at a price of HK$0.25 per share. We do like to see buying, but this purchase was made at well below the current price of HK$0.55. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

Icon Culture Global insiders may have bought shares in the last year, but they didn't sell any. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

See our latest analysis for Icon Culture Global

Icon Culture Global is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.

Does Icon Culture Global Boast High Insider Ownership?

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. Icon Culture Global insiders own 48% of the company, currently worth about HK$114m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Do The Icon Culture Global Insider Transactions Indicate?

It doesn't really mean much that no insider has traded Icon Culture Global shares in the last quarter. However, our analysis of transactions over the last year is heartening. It would be great to see more insider buying, but overall it seems like Icon Culture Global insiders are reasonably well aligned (owning significant chunk of the company's shares) and optimistic for the future. While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Our analysis shows 4 warning signs for Icon Culture Global (2 don't sit too well with us!) and we strongly recommend you look at them before investing.

Of course Icon Culture Global may not be the best stock to buy. So you may wish to see this free collection of high quality 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.

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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.