Independent Director of Shore Bancshares Dawn Willey Buys 36% More Shares
Even if it's not a huge purchase, we think it was good to see that Dawn Willey, the Independent Director of Shore Bancshares, Inc. (NASDAQ:SHBI) recently shelled out US$92k to buy stock, at US$12.25 per share. That purchase might not be huge but it did increase their holding by 36%.
See our latest analysis for Shore Bancshares
Shore Bancshares Insider Transactions Over The Last Year
In fact, the recent purchase by Dawn Willey was the biggest purchase of Shore Bancshares shares made by an insider individual in the last twelve months, according to our records. That implies that an insider found the current price of US$12.63 per share to be enticing. That means they have been optimistic about the company in the past, though they may have changed their mind. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. Happily, the Shore Bancshares insiders decided to buy shares at close to current prices.
While Shore Bancshares insiders bought shares during the last year, they didn't sell. The average buy price was around US$13.64. These transactions suggest that insiders have considered the current price attractive. 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!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Does Shore Bancshares Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Shore Bancshares insiders own 8.7% of the company, worth about US$34m. 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 Shore Bancshares Insider Transactions Indicate?
The recent insider purchases are heartening. We also take confidence from the longer term picture of insider transactions. Given that insiders also own a fair bit of Shore Bancshares we think they are probably pretty confident of a bright future. 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. Every company has risks, and we've spotted 4 warning signs for Shore Bancshares (of which 1 shouldn't be ignored!) you should know about.
Of course Shore 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 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.
