Don't Ignore The Insider Selling In ConnectOne Bancorp
Anyone interested in ConnectOne Bancorp, Inc. (NASDAQ:CNOB) should probably be aware that the President & Director, Elizabeth Magennis, recently divested US$225k worth of shares in the company, at an average price of US$32.67 each. However, the silver lining is that the sale only reduced their total holding by 5.6%, so we're hesitant to read anything much into it, on its own.
The Last 12 Months Of Insider Transactions At ConnectOne Bancorp
In fact, the recent sale by Elizabeth Magennis was the biggest sale of ConnectOne Bancorp 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$32.57. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.
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!
Check out our latest analysis for ConnectOne Bancorp
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Insider Ownership Of ConnectOne Bancorp
Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It appears that ConnectOne Bancorp insiders own 5.3% of the company, worth about US$88m. 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 Does This Data Suggest About ConnectOne Bancorp Insiders?
An insider sold stock recently, but they haven't been buying. And our longer term analysis of insider transactions didn't bring confidence, either. On the plus side, ConnectOne Bancorp makes money, and is growing profits. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We're in no rush to buy! 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 found 1 warning sign for ConnectOne Bancorp that deserve your attention before buying any shares.
Of course ConnectOne Bancorp 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 of direct interests only, but not derivative transactions or indirect interests.
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