A Prosperity Bancshares, Inc. (NYSE:PB) insider increased their holdings by 0.4% last year
From what we can see, insiders were net buyers in Prosperity Bancshares, Inc.'s (NYSE:PB ) during the past 12 months. That is, insiders acquired the stock in greater numbers than they sold it.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.
Check out our latest analysis for Prosperity Bancshares
The Last 12 Months Of Insider Transactions At Prosperity Bancshares
In the last twelve months, the biggest single purchase by an insider was when Chairman of the Board H. Timanus bought US$134k worth of shares at a price of US$67.00 per share. That implies that an insider found the current price of US$69.49 per share to be enticing. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. 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. The only individual insider to buy over the last year was H. Timanus.
H. Timanus purchased 4.00k shares over the year. The average price per share was US$66.30. 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!
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.
Insiders at Prosperity Bancshares Have Bought Stock Recently
At Prosperity Bancshares,over the last quarter, we have observed quite a lot more insider buying than insider selling. Chairman of the Board H. Timanus spent US$265k on stock. But Independent Director Robert Steelhammer sold shares worth US$87k. Insiders have spent more buying shares than they have selling, so on balance we think they are are probably optimistic.
Does Prosperity Bancshares Boast High Insider Ownership?
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. Prosperity Bancshares insiders own 4.2% of the company, currently worth about US$270m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
So What Does This Data Suggest About Prosperity Bancshares Insiders?
It is good to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about Prosperity Bancshares. Looks promising! Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Prosperity Bancshares.
Of course Prosperity 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, 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.
