Lacy Rice Bought 43% More Shares In United Bankshares \
Potential United Bankshares, Inc. (NASDAQ:UBSI) shareholders may wish to note that insider Lacy Rice recently bought US$294k worth of stock, paying US$29.43 for each share. That's a very decent purchase to our minds and it grew their holding by a solid 43%.
Check out our latest analysis for United Bankshares
United Bankshares Insider Transactions Over The Last Year
Notably, that recent purchase by Lacy Rice is the biggest insider purchase of United Bankshares shares that we've seen in the last year. That implies that an insider found the current price of US$30.00 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. The good news for United Bankshares share holders is that insiders were buying at near the current price.
Over the last year, we can see that insiders have bought 15.07k shares worth US$439k. But they sold 2.50k shares for US$107k. In the last twelve months there was more buying than selling by United 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!
United Bankshares is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Does United Bankshares Boast High 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. I reckon it's a good sign if insiders own a significant number of shares in the company. United Bankshares insiders own about US$86m worth of shares. That equates to 2.1% of the company. 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 United Bankshares Insider Transactions Indicate?
It's certainly positive to see the recent insider purchases. And the longer term insider transactions also give us confidence. When combined with notable insider ownership, these factors suggest United Bankshares insiders are well aligned, and that they may think the share price is too low. 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 1 warning sign for United Bankshares you should know about.
Of course United 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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