Lapco Holdings Insiders Got A Good Deal Selling At HK$0.34

Simply Wall St · 07/29 22:28

While Lapco Holdings Limited (HKG:8472) shareholders have had a good week with the stock up 13%, insiders can't say the same having sold stock over the past year. They could have sold their shares at much higher prices and gotten a better return on their investment if they had waited.

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.

Lapco Holdings Insider Transactions Over The Last Year

Notably, that recent sale by Yongchun Ye is the biggest insider sale of Lapco Holdings shares that we've seen in the last year. So it's clear an insider wanted to take some cash off the table, even below the current price of HK$0.40. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. However, while insider selling is sometimes discouraging, it's only a weak signal. We note that the biggest single sale was only 10% of Yongchun Ye's holding.

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!

Check out our latest analysis for Lapco Holdings

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SEHK:8472 Insider Trading Volume July 29th 2025

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Insiders At Lapco Holdings Have Sold Stock Recently

The last quarter saw substantial insider selling of Lapco Holdings shares. Specifically, insider Yongchun Ye ditched HK$396k worth of shares in that time, and we didn't record any purchases whatsoever. This may suggest that some insiders think that the shares are not cheap.

Insider Ownership Of Lapco Holdings

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. Lapco Holdings insiders own about HK$19m worth of shares (which is 40% of the company). 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 Lapco Holdings Insiders?

An insider hasn't bought Lapco Holdings stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. It is good to see high insider ownership, but the insider selling leaves us cautious. 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. When we did our research, we found 5 warning signs for Lapco Holdings (2 are potentially serious!) that we believe deserve your full attention.

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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.