Trade Alert: The Independent Director Of Community Bankers Trust Corporation (NASDAQ:ESXB), S. Rawls, Has Just Spent US$59k Buying 22% More Shares
Even if it's not a huge purchase, we think it was good to see that S. Rawls, the Independent Director of Community Bankers Trust Corporation (NASDAQ:ESXB) recently shelled out US$59k to buy stock, at US$5.90 per share. That purchase might not be huge but it did increase their holding by 22%.
See our latest analysis for Community Bankers Trust
The Last 12 Months Of Insider Transactions At Community Bankers Trust
Notably, that recent purchase by S. Rawls is the biggest insider purchase of Community Bankers Trust shares that we've seen in the last year. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$5.69). 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 is very important. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.
In the last twelve months Community Bankers Trust insiders were buying shares, but not selling. 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.
Insider Ownership of Community Bankers Trust
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. From looking at our data, insiders own US$4.9m worth of Community Bankers Trust stock, about 3.9% of the company. We prefer to see high levels of insider ownership.
So What Does This Data Suggest About Community Bankers Trust Insiders?
It's certainly positive to see the recent insider purchases. And the longer term insider transactions also give us confidence. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Community Bankers Trust insiders are expecting a bright future. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. At Simply Wall St, we've found that Community Bankers Trust has 2 warning signs (1 can't be ignored!) that deserve your attention before going any further with your analysis.
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.
This article by Simply Wall St is general in nature. 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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