Yahoo Finance Bullish insiders bet US$1.3m on Hanover Bancorp, Inc. (NASDAQ:HNVR)
Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying, like in the case of Hanover Bancorp, Inc. (NASDAQ:HNVR), it sends a favourable message to the company's shareholders.
While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
See our latest analysis for Hanover Bancorp
The Last 12 Months Of Insider Transactions At Hanover Bancorp
The Independent Director Metin Negrin made the biggest insider purchase in the last 12 months. That single transaction was for US$168k worth of shares at a price of US$21.00 each. That means that an insider was happy to buy shares at above the current price of US$19.99. Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares. 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 Hanover Bancorp insiders were buying shares, but not selling. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
Hanover Bancorp is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
Insider Ownership
For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Hanover Bancorp insiders own about US$33m worth of shares. That equates to 23% of the company. 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 Hanover Bancorp Tell Us?
It doesn't really mean much that no insider has traded Hanover Bancorp shares in the last quarter. On a brighter note, the transactions over the last year are encouraging. Overall we don't see anything to make us think Hanover Bancorp insiders are doubting the company, and they do own shares. 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 Hanover Bancorp that deserve your attention before buying any shares.
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.
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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.
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