China Finance Investment Holdings Limited (HKG:875) shareholders (or potential shareholders) will be happy to see that the Chairman, Yuhao Lin, recently bought a whopping HK$130m worth of stock, at a price of HK$0.65. That increased their holding by a full 96%, which arguably implies the sort of confidence required for a shy sweet-natured nerd to ask the most popular kid in the school to go out on a date.

View our latest analysis for China Finance Investment Holdings

China Finance Investment Holdings Insider Transactions Over The Last Year

In fact, the recent purchase by Yuhao Lin was the biggest purchase of China Finance Investment Holdings shares made by an insider individual in the last twelve months, according to our records. Even though the purchase was made at a significantly lower price than the recent price (HK$1.50), we still think insider buying is a positive. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.

The chart below shows insider transactions (by individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

China Finance Investment Holdings is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Does China Finance Investment Holdings Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. China Finance Investment Holdings insiders own about HK$614m worth of shares (which is 135% 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.

So What Does This Data Suggest About China Finance Investment Holdings Insiders?

It's certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Once you factor in the high insider ownership, it certainly seems like insiders are positive about China Finance Investment Holdings. Looks promising! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing China Finance Investment Holdings. At Simply Wall St, we found 4 warning signs for China Finance Investment Holdings that deserve your attention before buying any shares.