U.S. markets closed
  • S&P Futures

    4,136.75
    -11.00 (-0.27%)
     
  • Dow Futures

    33,904.00
    -58.00 (-0.17%)
     
  • Nasdaq Futures

    12,578.25
    -45.75 (-0.36%)
     
  • Russell 2000 Futures

    1,987.40
    -6.10 (-0.31%)
     
  • Crude Oil

    73.58
    +0.19 (+0.26%)
     
  • Gold

    1,877.00
    +0.40 (+0.02%)
     
  • Silver

    22.25
    -0.15 (-0.67%)
     
  • EUR/USD

    1.0790
    -0.0007 (-0.06%)
     
  • 10-Yr Bond

    3.5320
    +0.1360 (+4.00%)
     
  • Vix

    18.33
    -0.40 (-2.14%)
     
  • GBP/USD

    1.2037
    -0.0019 (-0.16%)
     
  • USD/JPY

    132.1690
    +1.0190 (+0.78%)
     
  • BTC-USD

    23,001.62
    -338.11 (-1.45%)
     
  • CMC Crypto 200

    535.42
    -1.43 (-0.27%)
     
  • FTSE 100

    7,901.80
    +81.64 (+1.04%)
     
  • Nikkei 225

    27,792.71
    +283.25 (+1.03%)
     

Insider Buying: The New York Community Bancorp, Inc. (NYSE:NYCB) Independent Director Just Bought 42% More Shares

Whilst it may not be a huge deal, we thought it was good to see that the New York Community Bancorp, Inc. (NYSE:NYCB) Independent Director, Marshall Lux, recently bought US$51k worth of stock, for US$8.53 per share. That purchase might not be huge but it did increase their holding by 42%.

See our latest analysis for New York Community Bancorp

New York Community Bancorp Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when Independent Director Ronald Rosenfeld bought US$232k worth of shares at a price of US$9.27 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$8.59). It's very possible they regret the purchase, but it's more likely they are bullish about the company. To us, it's very important to consider the price insiders pay for shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

In the last twelve months New York Community Bancorp insiders were buying shares, but not selling. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

insider-trading-volume
insider-trading-volume

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.

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. It appears that New York Community Bancorp insiders own 1.1% of the company, worth about US$65m. 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 Does This Data Suggest About New York Community Bancorp Insiders?

It's certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. Given that insiders also own a fair bit of New York Community Bancorp 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. At Simply Wall St, we found 2 warning signs for New York Community Bancorp that deserve your attention before buying any shares.

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, but not derivative transactions.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.

Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here