Investors who take an interest in First Citizens BancShares, Inc. (NASDAQ:FCNC.A) should definitely note that the CFO & Principal Accounting Officer, Craig Nix, recently paid US$659 per share to buy US$198k worth of the stock. We reckon that's a good sign, especially since the purchase boosted their holding by 59%.
The Last 12 Months Of Insider Transactions At First Citizens BancShares
Notably, that recent purchase by Craig Nix is the biggest insider purchase of First Citizens BancShares shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of US$685. Of course they may have changed their mind. But this suggests they are optimistic. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. In this case we're pleased to report that the insider purchases were made at close to current prices.
First Citizens BancShares insiders may have bought shares in the last year, but they didn't sell any. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
First Citizens BancShares 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.
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. First Citizens BancShares insiders own about US$2.4b worth of shares (which is 23% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
What Might The Insider Transactions At First Citizens BancShares Tell Us?
The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about First Citizens BancShares. Looks promising! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing First Citizens BancShares. When we did our research, we found 2 warning signs for First Citizens BancShares (1 doesn't sit too well with us!) that we believe deserve your full attention.
Of course First Citizens BancShares 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, but not derivative transactions.
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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.