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Don't Ignore The Insider Selling In Peoples Bancorp of North Carolina
Investors may wish to note that the Independent Vice Chairman of the Board of Peoples Bancorp of North Carolina, Inc., James Abernethy, recently netted US$70k from selling stock, receiving an average price of US$43.84. On the bright side, that's just a small sale and only reduced their holding by 1.6%.
Peoples Bancorp of North Carolina Insider Transactions Over The Last Year
In fact, the recent sale by James Abernethy was the biggest sale of Peoples Bancorp of North Carolina shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at around the current price of US$43.47. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.
In the last twelve months insiders purchased 1.10k shares for US$48k. But they sold 17.50k shares for US$720k. In total, Peoples Bancorp of North Carolina insiders sold more than they bought over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
View our latest analysis for Peoples Bancorp of North Carolina
If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).
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. Insiders own 11% of Peoples Bancorp of North Carolina shares, worth about US$27m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
What Might The Insider Transactions At Peoples Bancorp of North Carolina Tell Us?
Unfortunately, there has been more insider selling of Peoples Bancorp of North Carolina stock, than buying, in the last three months. Despite some insider buying, the longer term picture doesn't make us feel much more positive. But it is good to see that Peoples Bancorp of North Carolina is growing earnings. While insiders do own shares, they don't own a heap, and they have been selling. So we'd only buy after careful consideration. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Case in point: We've spotted 2 warning signs for Peoples Bancorp of North Carolina you should be aware of.
But note: Peoples Bancorp of North Carolina may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.
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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