Berkshire Hills Bancorp Insiders Added US$817.2k Of Stock To Their Holdings
Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying, like in the case of Berkshire Hills Bancorp, Inc. (NYSE:BHLB), it sends a favourable message to the company's shareholders.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.
View our latest analysis for Berkshire Hills Bancorp
The Last 12 Months Of Insider Transactions At Berkshire Hills Bancorp
The insider Mary Callahan made the biggest insider purchase in the last 12 months. That single transaction was for US$357k worth of shares at a price of US$19.90 each. So it's clear an insider wanted to buy, at around the current price, which is US$21.44. That means they have been optimistic about the company in the past, though they may have changed their mind. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. Happily, the Berkshire Hills Bancorp insiders decided to buy shares at close to current prices.
In the last twelve months insiders purchased 39.89k shares for US$817k. But they sold 2.67k shares for US$59k. In the last twelve months there was more buying than selling by Berkshire Hills Bancorp insiders. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Berkshire Hills Bancorp 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.
Berkshire Hills Bancorp Insiders Are Selling The Stock
Over the last three months, we've seen significant insider selling at Berkshire Hills Bancorp. In total, Independent Director Michael Zaitzeff dumped US$59k worth of shares in that time, and we didn't record any purchases whatsoever. In light of this it's hard to argue that all the insiders think that the shares are a bargain.
Does Berkshire Hills Bancorp Boast High Insider Ownership?
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 1.6% of Berkshire Hills Bancorp shares, worth about US$14m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Do The Berkshire Hills Bancorp Insider Transactions Indicate?
An insider hasn't bought Berkshire Hills Bancorp stock in the last three months, but there was some selling. On the other hand, the insider transactions over the last year are encouraging. It's good to see insiders are shareholders. So we're happy enough to look past some selling. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. In terms of investment risks, we've identified 1 warning sign with Berkshire Hills Bancorp and understanding this should be part of your investment process.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.
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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.
