Insider Buying: The Singapore Shipping Corporation Limited (SGX:S19) Executive Chairman Just Bought US$89k Worth Of Shares
Whilst it may not be a huge deal, we thought it was good to see that the Singapore Shipping Corporation Limited (SGX:S19) Executive Chairman, Chio Kiat Ow, recently bought S$89k worth of stock, for S$0.25 per share. Nevertheless, it only increased their shareholding by a minuscule percentage, and it wasn't a massive purchase by absolute value, either.
Check out our latest analysis for Singapore Shipping
The Last 12 Months Of Insider Transactions At Singapore Shipping
Notably, that recent purchase by Chio Kiat Ow is the biggest insider purchase of Singapore Shipping shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of S$0.25. 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. The good news for Singapore Shipping share holders is that an insider was buying at near the current price. The only individual insider to buy over the last year was Chio Kiat Ow.
Chio Kiat Ow purchased 696.20k shares over the year. The average price per share was S$0.26. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
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.
Does Singapore Shipping Boast High Insider Ownership?
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Singapore Shipping insiders own about S$51m worth of shares (which is 51% of the company). 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 Singapore Shipping Insider Transactions Indicate?
It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. When combined with notable insider ownership, these factors suggest Singapore Shipping insiders are well aligned, and quite possibly think the share price is too low. One for the watchlist, at least! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Singapore Shipping. To help with this, we've discovered 4 warning signs (1 is a bit unpleasant!) that you ought to be aware of before buying any shares in Singapore Shipping.
Of course Singapore Shipping 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, 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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