Yahoo Finance Insider Buying: The VersaBank (TSE:VB) President Just Bought 1.5% More Shares
Even if it's not a huge purchase, we think it was good to see that David Taylor, the President of VersaBank (TSE:VB) recently shelled out CA$108k to buy stock, at CA$7.17 per share. However, it only increased their shares held by 1.5%, and it wasn't a huge purchase by absolute value, either.
See our latest analysis for VersaBank
The Last 12 Months Of Insider Transactions At VersaBank
In fact, the recent purchase by President David Taylor was not their only acquisition of VersaBank shares this year. They previously made an even bigger purchase of CA$213k worth of shares at a price of CA$6.50 per share. That means that an insider was happy to buy shares at around the current price of CA$7.08. That means they have been optimistic about the company in the past, though they may have changed their mind. 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. Happily, the VersaBank insiders decided to buy shares at close to current prices.
VersaBank insiders may have bought shares in the last year, but they didn't sell any. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
VersaBank 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 of VersaBank
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that VersaBank insiders own 15% of the company, worth about CA$22m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Does This Data Suggest About VersaBank Insiders?
The recent insider purchases are heartening. We also take confidence from the longer term picture of insider transactions. Insiders likely see value in VersaBank shares, given these transactions (along with notable insider ownership of the company). I like to dive deeper into how a company has performed in the past. You can find historic revenue and earnings in this detailed graph.
But note: VersaBank 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, 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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