Great news for Carter Bankshares, Inc. (NASDAQ:CARE): Insiders acquired stock in large numbers last year
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 Carter Bankshares, Inc. (NASDAQ:CARE), it sends a favourable message to the company's shareholders.
Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.
Check out our latest analysis for Carter Bankshares
The Last 12 Months Of Insider Transactions At Carter Bankshares
Over the last year, we can see that the biggest insider purchase was by Independent Director Kevin Bloomfield for US$90k worth of shares, at about US$14.58 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$18.19. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
Happily, we note that in the last year insiders paid US$122k for 8.28k shares. On the other hand they divested 1.00k shares, for US$18k. In the last twelve months there was more buying than selling by Carter Bankshares insiders. 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!
Carter Bankshares is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Carter Bankshares Insiders Are Selling The Stock
We have seen a bit of insider selling at Carter Bankshares, over the last three months. Chairman of the Board James Haskins only netted US$18k selling shares, in that period. It's not great to see insider selling, nor the lack of recent buyers. But the selling simply isn't sufficiently substantial to be of much use as a signal.
Does Carter Bankshares Boast High 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. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 3.8% of Carter Bankshares shares, worth about US$17m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Do The Carter Bankshares Insider Transactions Indicate?
We did not see any insider buying in the last three months, but we did see selling. But the sales were small, so we're not concerned. But insiders have shown more of an appetite for the stock, over the last year. Insiders do have a stake in Carter Bankshares and their transactions don't cause us concern. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Carter Bankshares.
Of course Carter Bankshares 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.
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