Insider Buying: ROXY-PACIFIC, XINREN, SERIAL, KOH BROS

SO, IN THE past week investors got jittery over Greece and there was selling aplenty on the stock market -- but there was also plenty of confident buying of certain stocks by insiders.

Take a look:

Koh Seng Geok, CFO, Roxy-Pacific Holdings: Bought 71,000 shares @ 41.5 cents, 20,000 shares @ 39.5 cents.

Teo Hong Lim, executive chairman of Roxy-Pacific Holdings: Bought 212,000 shares @ 39 cents.

Roxy-Pacific has lots of earnings visibility from the property projects that it has sold in recent times -- It has progress billings of S$778.9 million, profits of which will be progressively recognised from 2Q2012 to FY2016.
 
Roxy-Pacific's chairman and its CFO have been consistently buying the company's shares in past years, signalling confidence in the earnings prospects and lifting investor sentiment too. The stock is up a whopping 52% year to date.

SIAS Research has a target price of 60.5 cents -- which is 53% higher than last Friday's closing price of 39.5 cents.

Recent story: ROXY-PACIFIC's progress billings rise to S$779 m

XinRen bought back 1 million shares at 29.996 cents a share. The stock ended last Friday at 29.5 cents, near the low-end of its 52-week trading range of 27-46 cents

XinRen Aluminum earned revenue of RMB1.4 billion for 1QFY12, far below 1QFY11’s RMB2.0 billion.

It was hit by lower selling prices and lower sales volume of smelted ingots and plates and fabricated products, as well as reduced trading sales.

These, together with a 12% increase in the price of electricity per unit and higher raw material costs for alumina and carbon anodes, resulted in a net loss of RMB 10 million in 1QFY12.

DBS Vickers has cut its target price for the stock from 51 cents to 33 cents.

Recent story: XINREN: China's aluminum demand stable despite uncertain economy

Serial System bought back a total of 3.902 million shares on four consecutive days at between 8.7 cents and 9.1 cents.

Serial System has not bought its shares in the last five years at least. But it did so last week, soaking up 3.902 million shares.

Last Friday, the stock closed at 9 cents, the level it had aggressively bought at.

Prior to this, Serial chairman & CEO Derek Goh has also been a fervent buyer of the stock for over a year, in part because of the dividend yield of 6-9%. 

In its recent report, NRA Capital had a fair value of 15 cents for the stock.

Recent story: SERIAL SYSTEM: Lots of business insights shared at AGM

L-R: Koh Tiat Meng, executive chairman; Koh Keng Siang, MD & Group CEO, Koh Brothers Group, the company which built the iconic Marina Barrage

You can have confidence in Koh Brothers' enthusiasm for buying back its shares.

Week in, week out, the property developer and construction company (market cap: S$92 million) has been consistently buying since May 2011.

It has accumulated 15.048 million shares, mostly in the 20-21 cent range. It was in the market every day in the past week, buying a total of 1.23 million shares.

The stock closed at 19.7 cents last Friday, a sharp 49% discount to its net asset value of 38.63 cents.

By the way, check out Koh Brothers' annual report 2011: It is a most beautifully-designed item.

Recent story: KOH BROTHERS: Strong buyback but stock price flat