Magyar Bancorp Independent Director Acquires 8.4% More Stock
Investors who take an interest in Magyar Bancorp, Inc. (NASDAQ:MGYR) should definitely note that the Independent Director, Michael Lombardi, recently paid US$9.51 per share to buy US$141k worth of the stock. Although the purchase only increased their holding by 8.4%, it is still a solid purchase in our view.
View our latest analysis for Magyar Bancorp
Magyar Bancorp Insider Transactions Over The Last Year
In fact, the recent purchase by Michael Lombardi was the biggest purchase of Magyar Bancorp shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is US$9.68. 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. In this case we're pleased to report that the insider bought shares at close to current prices. Michael Lombardi was the only individual insider to buy shares in the last twelve months.
Michael Lombardi purchased 30.12k shares over the year. The average price per share was US$9.74. 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!
Magyar Bancorp is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. 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 11% of Magyar Bancorp shares, worth about US$6.9m, according to our data. We do generally prefer see higher levels of insider ownership.
So What Do The Magyar Bancorp Insider Transactions Indicate?
The recent insider purchase is heartening. And an analysis of the transactions over the last year also gives us confidence. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that Magyar Bancorp insiders are reasonably well aligned, and optimistic for the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Magyar Bancorp. You'd be interested to know, that we found 2 warning signs for Magyar Bancorp and we suggest you have a look.
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 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.
