Canadian Imperial Bank of Commerce (TSE:CM) shareholders (or potential shareholders) will be happy to see that the Independent Director, Patrick Daniel, recently bought a whopping CA$993k worth of stock, at a price of CA$109. That purchase boosted their holding by 910%, which makes us wonder if the move was inspired by quietly confident deeply-felt optimism.
Canadian Imperial Bank of Commerce Insider Transactions Over The Last Year
Over the last year, we can see that the biggest insider sale was by the insider, Larry Richman, for CA$1.5m worth of shares, at about CA$113 per share. That means that an insider was selling shares at around the current price of CA$109. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.
Happily, we note that in the last year insiders paid CA$2.2m for 19.90k shares. But they sold 14219 for CA$1.6m. Overall, Canadian Imperial Bank of Commerce insiders were net buyers last year. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).
Insider Ownership of Canadian Imperial Bank of Commerce
For a common shareholder, it is worth checking how many shares are held by company insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 0.03% of Canadian Imperial Bank of Commerce shares, worth about CA$15m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
What Might The Insider Transactions At Canadian Imperial Bank of Commerce Tell Us?
It's certainly positive to see the recent insider purchases. And the longer term insider transactions also give us confidence. Given that insiders also own a fair bit of Canadian Imperial Bank of Commerce we think they are probably pretty confident of a bright future. Of course, the future is what matters most. So if you are interested in Canadian Imperial Bank of Commerce, you should check out this free report on analyst forecasts for the company.
But note: Canadian Imperial Bank of Commerce may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.
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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