WEBULL

Selling CN¥8.4m Of Stock Was Lucrative Decision For Redco Properties Group Insiders

Simply Wall St · 5d ago

While Redco Properties Group Limited (HKG:1622) shareholders have enjoyed a good week with stock up 13%, they need remain vigilant. The fact that insiders chose to dispose of CN¥8.4m worth of stock in the past 12 months even though prices were relatively low could be indicative of some anticipated weakness.

Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.

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The Last 12 Months Of Insider Transactions At Redco Properties Group

In the last twelve months, the biggest single sale by an insider was when the insider, Leung Ho Ng, sold HK$8.4m worth of shares at a price of HK$0.062 per share. That means that an insider was selling shares at slightly below the current price (HK$0.21). 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 43% of Leung Ho Ng's holding. Leung Ho Ng was the only individual insider to sell shares in the last twelve months.

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!

View our latest analysis for Redco Properties Group

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SEHK:1622 Insider Trading Volume January 6th 2026

I will like Redco Properties Group better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Redco Properties Group insiders own about HK$538m worth of shares (which is 72% of the company). I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At Redco Properties Group Tell Us?

There haven't been any insider transactions in the last three months -- that doesn't mean much. It's great to see high levels of insider ownership, but looking back over the last year, we don't gain confidence from the Redco Properties Group insiders selling. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Every company has risks, and we've spotted 5 warning signs for Redco Properties Group (of which 4 are significant!) you should know about.

Of course Redco Properties Group 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.